Company Owned Property - The importance of good company management
It is common to use a company to own premium property in Portugal and choosing the right company manager is vital. It is somewhat like deciding which insurer to use: you only realise the value of your choice when you really need it.
What do we, as company managers, actually do?
- Maintain company records including company registers;
- Draft board and shareholder resolutions;
- Prepare powers of attorney as required;
- Open bank accounts (if needed);
- Keep the company in good standing;
- Preparation of financial statements (if required);
- Preparation of status reports prior to sale;
- Provision of Directors (US, Malta and Gibraltar);
- Hold shares on your behalf under a nominee agreement.
Most importantly, however, we are a key component in the sale/purchase process. Your conveyancing solicitor needs to have the
confidence that the company manager can be trusted to have completed all requirements and affirms/certifies the status and standing of the company so that the transaction can proceed.
Why use a company to hold property?
There are a number of reasons for this:
- Ease of sale/purchase;
- Inheritance purposes/succession planning;
- Shares can be held in trust;
- Saving on transfer tax (6%); and
- Purchasing a property jointly with friends/family.
Abacus is licensed and regulated by the Gibraltar Financial Services Commission (GFSC) to provide a full range of company
administration services including the provision of directors, secretary, nominees and trustees.
We have an office in Almancil managed by Anne Darlington, who is fluent in Portuguese and English and can assist with any local
requirements you may have. Abacus has over 50 staff in the Gibraltar head office, of which 10 are dedicated to servicing our
clients in Portugal. Our long-standing ability to turn documents around efficiently and our availability to clients on a daily basis are our key strengths.
Questions to consider when appointing a Company Manager?
- Where is the company manager registered and physically located as a business?
- Do they have an office in the Algarve?
- How long has the company manager been providing the services that they advertise?
- Is the company management firm regulated under an appropriate company management licence?
- Who are the firm's auditors?
- Do they have Professional Indemnity Insurance or any other compensation arrangement in place in the event of a claim against their services?
- How many full-time staff does the company manager have dealing with the administration of companies? Is there sufficient cover for absenteeism, sickness or other unavailability?
- Have you obtained written recommendation for the firm from established Algarve law firms?
- How professional is their website?
- Who will act as Directors of the company?
For more information feel fre to get in touch:
Phil Cartwright – Abacus Gibraltar
Tel: +350 200 78267 ext 402 or +350 200 78777
Anne Darlington – Abacus Algarve
Tel: +351 289 396 277 or +351 969 016 748