“B” Reorganization
“B” Reorganization
Type “B” involves the acquisition of stock of one corporation by another, and the target corporation becomes a subsidiary of the acquiring, as a result.
Requirements of “B” Reorganization
1) The acquisition must be one of a series of acquisitions that are part of an overall plan to acquire the requisite control.
2) The plan of acquisition must be carried out in a relatively short period of time such as 12 months.
3) The acquisition must be made solely for voting stock.
Explanation:
* Targets shareholders exchange Target stock solely for Acquiring ‘s voting stock.
*T1 and T2 exchange the C stock received for the T1 and T2 stock held by their shareholders, and then TI and T2 dissolve.
* Acquiring must be in control of Target immediately after the exchange.
*Target becomes Acquiring ‘s subsidiary.
*Targets former shareholders become Acquiring shareholders.
We hope you found this article about “”B” Reorganization” helpful. If you have questions or need expert tax or family office advice that’s refreshingly objective (we never sell investments), please contact us or visit our Family office page or our website at www.GROCO.com. Unfortunately, we no longer give advice to other tax professionals gratis.
To receive our free newsletter, contact us here.
Subscribe to our YouTube Channel for more updates.
Alan Olsen, is the Host of the American Dreams Show and the Managing Partner of GROCO.com. GROCO is a premier family office and tax advisory firm located in the San Francisco Bay area serving clients all over the world.
Alan L. Olsen, CPA, Wikipedia Bio
GROCO.com is a proud sponsor of The American Dreams Show.
The American Dreams show was the brainchild of Alan Olsen, CPA, MBA. It was originally created to fill a specific need; often inexperienced entrepreneurs lacked basic information about raising capital and how to successfully start a business.
Alan sincerely wanted to respond to the many requests from aspiring entrepreneurs asking for the information and introductions they needed. But he had to find a way to help in which his venture capital clients and friends would not mind.
The American Dreams show became the solution, first as a radio show and now with YouTube videos as well. Always respectful of interview guest’s time, he’s able to give access to individuals information and inspiration previously inaccessible to the first-time entrepreneurs who need it most.
They can listen to venture capitalists and successful business people explain first-hand, how they got to where they are, how to start a company, how to overcome challenges, how they see the future evolving, opportunities, work-life balance and so much more..
American Dreams discusses many topics from some of the world’s most successful individuals about their secrets to life’s success. Topics from guest have included:
Creating purpose in life / Building a foundation for their life / Solving problems / Finding fulfillment through philanthropy and service / Becoming self-reliant / Enhancing effective leadership / Balancing family and work…
MyPaths.com (Also sponsored by GROCO) provides free access to content and world-class entrepreneurs, influencers and thought leaders’ personal success stories. To help you find your path in life to true, sustainable success & happiness. It’s mission statement:
In an increasingly complex and difficult world, we hope to help you find your personal path in life and build a strong foundation by learning how others found success and happiness. True and sustainable success and happiness are different for each one of us but possible, often despite significant challenges.
Our mission at MyPaths.com is to provide resources and firsthand accounts of how others found their paths in life, so you can do the same.
Impact’19: Michael Beaudoin II
About Michael Beaudoin II Michael invests in early stage companies, on behalf of Mark IV Capital. Previously, Michael created and operated AT&T’s Aspire Accelerator; and served as a Vice President at JPMorgan Chase and Deutsche Bank. Michael graduated with an MBA from Pepperdine and undergraduate from Ball State University. Bio Source: sched.com Interview Transcript of:…
Impact ’19: Jan Geldermacher
Jan Geldermacher is President of Sprint Business. He joined the company in August 2016 and reports to CEO Michel Combes. Transcript of Impact’19: Jan Geldermacher: Alan Olsen: I’m visiting here today with Jan Geldmacher. And Jan is currently the President of Sprint, Jan Geldmacher: Business, Alan Olsen: Sprint Business and telecommunications. And, and…
Impact ’19: Stacy Lewis Daher
Stacy Lewis Daher is an experienced financial leader with a successful track record in asset management, finance, accounting, treasury, procurement, debt issuance and management, and financial planning roles at the University of San Francisco and PricewaterhouseCoopers. Transcript for Impact ’19: Stacy Lewis Daher: Alan Olsen: I’m visiting here today with Stacy Lewis. She’s…
Impact’19: James Thayer
Transcript of Impact’19: James Thayer: Alan Olsen: Can you give a background on your career path before you came over to Clark Capital Partners? James Thayer: I started out as a as an attorney doing patent litigation. My first big case was with Blackberry, Blackberry have been sued, and there was an injunction against…