We were approached by a charity to review the arrangements for their trading companies.
The charity, operated multiple trading companies to enhance VAT recovery and tax efficiency. However, the necessity and efficiency of maintaining these companies had come into question. We reviewed their governance, operational practices, and compliance with legal and regulatory requirements. Our work highlighted significant areas for improvement in the trading company model. By consolidating trading companies, enhancing governance practices, formalising subcontracting agreements and simplifying financial processes, the charity was able to streamline operations, reduce administrative burdens and improve overall efficiency.