Management & employee participation

Management participations

When private equity firms buy a company, the target is mainly financed with debt and cumulative preferred shares. The managers usually participate through common stocks. When the fixed rate return of the cumulative preferred shares is too low, a large portion of the 'upside' shifts to the ordinary shareholders. The tax authorities may qualify this as a wage benefit, which has unpleasant consequences for the income tax that needs to be paid. Our valuation team can help to determine and substantiate a fair return on fixed income capital towards the tax authorities.

 

Employee Participations

It is possible that the employer gives employees an opportunity to participate in the company. This can take place through the purchase of shares, the acquisition of options or through a Stock Appreciation Rights (SAR) agreement. The PKF Valuation Services team provides tailor made solutions on valuation issues and the financing of employee participations.

 

Sector bèta rapport - European Markets

PKF Valuation Services has developed a sector beta report. This report provides insight into betas, volatility, company values and debt equity ratios for 61 different sectors. In total, [...]

Payroll 2021 update

In 2021, several changes will take place in the field of laws and regulations relevant to you, your employees, and the payroll administration. We want to inform you [...]

Trading Cross-Border Using Outdated VAT Simplification Rules

Despite all the efforts of the European Commission to combat VAT fraud, widely applied outdated national fraud-sensitive simplification rules for cross-border trade have remained untouched until today. Jan [...]

UBO register act 27 September 2020

On 23 June 2020, the Dutch Senate adopted the legislative proposal regarding the implementation of the UBO register in the Netherlands (hereinafter: ‘Act UBO-register’). With this adoption, the [...]

Budget Day Special 2020

The 2021 tax plan is announced on Tuesday 15 September.    Below, we have listed for you the most important topics and added our comments. You can contact your usual PKF [...]

The NOW 2 regulation

On 20 May 2020, the Dutch government announced that it would extend the NOW regulation (in Dutch: Tijdelijke noodmaatregel overbrugging voor behoud van werkgelegendheid (hereinafter: NOW 1)). The [...]