Global value chain restructuring

A group might decide to re-design its value chain for many reasons: to improve reliability, efficiency, profitability, and/or risk; comply with new laws and regulations; for strategic reasons such as preparing to expand into a new region; and more.

These projects clearly have a much wider scope than those that only look at the supply chain, as the value chain also includes elements like operational processes, human capital, tax, financial, and real estate elements, among others. Some of these can be rather intangible – a company’s customer care practices, for example, or the IP inherent in its processes. But even though these things can’t be patented, and don’t appear on a balance sheet, they can still have enormous value to the group.

As always, even in very complex projects, the way to handle the legal aspects successfully is to get the basics right. Being clear about the objectives. Understanding exactly where value is currently being created in the group. Assembling the right team of people. Designing a new structure that works. Creating an effective and detailed project plan to get from the existing structure to the new one. And having the expertise to spot potential problems before they occur.

The process of moving to the new structure can be complicated. Typical considerations might be to preserve assets, and to avoid triggering new liabilities (such as pensions liabilities).

Why work with us?

World-leading
Legal
experts

We are the world-leading experts and educators in intercompany agreements and related corporate structures.

Global and
cross-functional
approach

We liaise with all the stakeholders involved, not just in tax, to ensure that the intercompany agreements and legal structures we maintain support all of the group’s objective.

Ongoing support
to maintain
audit-readiness

We provide an outsourced management service for multinational groups, to ensure that their intercompany agreements are maintained in a tax-audit ready central archive.

I worked with Paul Sutton for many years whilst he was at McGrigors / Pinsent Masons, in my role as Group Tax Manager of Sumitomo Electric Wiring Systems (Europe) Ltd (SEWS-E Ltd), and also for a period as SEWS-E Ltd Company Secretary. In this time I had extremely valuable assistance and advice from Paul, not only as regards general corporate law matters, but also particularly across a wide spectrum of legal aspects of SEWS-E Ltd group transfer pricing policies, implementation, inter-group agreements and legal compliance.

Martin L Kinsey, Group Tax Manager
Sumitomo Electric Wiring Systems (Europe) Limited

I have worked with Paul and his team in structuring significant Corporate Debt and have found his approach to be commercial, pragmatic and measured. I would have no hesitation working with Paul again, as we value his commercial and responsive approach.

Joanne Luce, Director
Acqua Trust Company Limited, Jersey

All-Fill Inc, a US based manufacturer of packaging machinery, has had the distinct pleasure of working with Ivan Hanna and the LCN Legal team in relation to our overseas acquisition projects. Ivan has displayed patience and intricate knowledge of English law as it applies to us as a foreign company. Ivan’s counsel has been calculated and sound, together we tailored an approach that is telling of our company’s aggressive nature. I was most impressed at Ivan’s willingness to dig deep into the details and investigate any way to give our side a competitive advantage while negotiating. Ivan has been our guiding light since our initial engagement.

Ryan Edginton, President & CEO
All-Fill Inc

I have been working with Ivan Hanna over the past year on various corporate matters including a group share restructuring project and intercompany agreements for our transfer pricing compliance. Compared to other corporate law firms I have worked with, Ivan took the time to understand our business, our stakeholders and my needs. He was incredibly responsive and went above and beyond to manage our various stakeholders and turn around a big piece of work in a short amount of time. I have no hesitation in recommending Ivan or LCN Legal – they are what all solicitors should be!

Becky Karver, CFO
Deallus Consulting

It is my privilege to recommend Ivan. He is able to process requirements quickly and formulate an effective strategy that protects one’s commercial interests. He is very personable and exceeds expectations. A great lawyer!

Roop Singh Sood, Executive Producer
AKA Filmworks

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