Why do you need this service?

We have found that many charities would like a quick and cheap way of determining whether a merger is a good way forward before engaging full legal advice/support. To assist with this, we provide a bespoke service and confidential report which includes:

  • Key information to equip decision-makers
  • Top level advice on the legal issues that are likely to arise
  • An outline of the process ahead, with (where appropriate) suggestions as to how to proceed.

What is involved?

The assessment involves BWB supplying you with a short questionnaire. We analyse your responses and review key documents, such as both organisations’ governing documents, recent accounts, and any preparatory documents which have been drafted summarising the merger proposal.

Each analysis is tailored to your organisation. However, in normal circumstances, our assessment will identify and report on up to 10 or 12 top level issues, including:

1. Whether there are any conflicts between the charitable purposes of the two organisations (as set out in their objects) and if so how such conflicts might be surmounted.

2. Setting out the options as to which entity/entities could be wound up or continue to exist and/or whether a brand new vehicle should be set up. Where appropriate, we make recommendations.

3. Matters relating to the governance structure such as board composition and company law membership (for instance whether one or both organisations are membership organisations and, if so, what the implications of this would be).

4. The impact of any restrictions which may be imposed on monies held for specific charitable purposes.

5. Other issues covered may include:

  • Key employment-related matters such as the effect of recent or upcoming redundancies, and pension scheme membership
  • Any immediate concerns relating to either organisation’s name or brand
  • The transfer of properties
  • Specific issues which you may draw to our attention.

What does it Cost?

The cost of a merger assessment is £750-£1000 plus VAT, depending on the turnover of the organisations being reviewed.

For further information contact:

Lawrence Simanowitz, LLP Partner
Bates Wells Braithwaite London LLP
0207 551-7796