Realated to take over
This query is : Resolved
06 October 2014
My client want to purchase one running unit.that unit is fail to repay bank loan last installment and CC facility is also enjoyed by that unit in same bank. My client want to change the firm name at the time of purchase and want to surrender all old legal registration number. he will take new legal registration from all respective department. and he want be to continue with same loan on new name with same bank. weather is it possible?
06 October 2014
you need to have a detailed talk with all the future plan of new units with the lender as its very subjective matter.
Message likes :
1 times
06 October 2014
all future plan remain same as it is. my client is also partner in same type of business in other unit. so, he is experienced in that type of industries. he want to run that new unit with his brand name.
06 October 2014
agreed with ur intention but the lender needs to be convinced..usually they ask for a declaration for assuming the same liabilities as accepted by the current owner..u have a talk for more clarity on the subject with the lender.
06 October 2014
ok. but bank can transfer my loan with this condition in new unit?
06 October 2014
cant say with full confidence as yes because the decision shall be taken after investigating the net worth of new unit, taxaes paid in prev years and other financial criterias like various ratios calcuated etc...it all depends on the lender
Message likes :
1 times
06 October 2014
banks are more than happy to replace borrowers in case of defaults. As long as you are not looking for hair-cuts, moratoriums etc and have tangible net-worth to sustain loan amount, bank dont have much problem. However, given that banks would be having lien over the assets, they simply prefer to collect their dues from the sale consideration to be paid to the seller and only the net liability may be transferred to you.
Message likes :
1 times
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Off Market debit and credit transaction
- Itr 1 processing
- Showing Gift from relative in ITR for this year
- ITR returnFY25-26
- ITR selection for salaries and capital gain less than L
- INCOME TAX ON REDEVELOPEMENT OF FLAT
- ITR 2 Short Term gain & Long term gain
- Form 10E u/s 89(1). Need clarification because experts opinions differ !!!!
- Short Term Capital gain on shares bought and sold after 2018 onwards
- Share accounting-->fifo - capital gain - period as per fifo?
- ITR 1: Details for showing Exempt Income
- Gst invoice numbering and delivery challan numbering
- Sales amount in Gstr1
- E Commerce GSTR1 & 3B how to file
- GST Cancellation without jurisdiction
- Legal Opinion on Registrar's Refusal to Investigate a Society for Non-Renewal and Non-Compliance
- GST Refund_RFD-01
- Form10BD was uploaded successfully without any Error but after 24 hours, Form10BE are not available
- Annexure B utility for GST Refund
- Tax amount diff in Gstr1 and 3B in tax compare reports
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
