To Be Or Not To Be...

[BrassMonkey]

I already have a Ltd partnership that has been trading for a year as a cafe / bar but I now wish to also buy land and build apartments for rent.

My accountant/lawyer tells me that I should be setting up a new Ltd company to handle the new project and leave the old Ltd company as is.

I felt that it would be better to incorporate the new operation into the existing company.

Can anyone offer me some advise regarding the correct way forward?

I also have a good friend who has opted to buy land under his wifes name with a 30 year lease back to him. Is this a good idea or should I continue with the Ltd company?

Many thanks.

[Sunbelt Asia]

If you had a limited company rather than a limited partnership, I would say use the old company.

However with a limited partnership you have no control by being a minor shareholder and no way to control your investment. A zillion times better to form a new limited company on a preferred/ordinary share basis and be the managing director.

www.sunbeltasia.com

[Sulaphat]

My preference would be to have two separate limited liability companies. One for the cafe/bar and one for the realestate business. That way if one goes south or you wish to sell one, you still have the other one.

[astral]

My preference would be to have two separate limited liability companies.  One for the cafe/bar and one for the realestate business.  That way if one goes south or you wish to sell one, you still have the other one.

<{POST_SNAPBACK}>

He makes a good point.

[BrassMonkey]

If you had a limited company rather than a limited partnership, I would say use the old company.

However with a limited partnership you have no control by being a minor shareholder and no way to control your investment. A zillion times better to form a new limited company on a preferred/ordinary share basis and be the managing director. 

www.sunbeltasia.com

<{POST_SNAPBACK}>

One further question:

Would it be easy to change my Ltd Partnership to a Ltd Company for the Cafe/Bar?

[sas_cars]

If you had a limited company rather than a limited partnership, I would say use the old company.

However with a limited partnership you have no control by being a minor shareholder and no way to control your investment. A zillion times better to form a new limited company on a preferred/ordinary share basis and be the managing director. 

www.sunbeltasia.com

<{POST_SNAPBACK}>

One further question:

Would it be easy to change my Ltd Partnership to a Ltd Company for the Cafe/Bar?

<{POST_SNAPBACK}>

I exactly have the same question.Is an existing limited partnership can be upgraded to a limited company?or We do have to cancel the existing limited partnership and form a new limited company?

[Sunbelt Asia]

Would it be easy to change my Ltd Partnership to a Ltd Company for the Cafe/Bar?

Sorry no. The only way is to form a new limited company,acquire the assets of the Limited partnership by a asset purchase agreement and then close the Limited Partnership down.

www.sunbeltasia.com

[BrassMonkey]

Would it be easy to change my Ltd Partnership to a Ltd Company for the Cafe/Bar?

Sorry no. The only way is to form a new limited company,acquire the assets of the Limited partnership by a asset purchase agreement and then close the Limited Partnership down.

www.sunbeltasia.com

<{POST_SNAPBACK}>

Many thanks for your help...