Setting up an SPV company

Shuraa Business Setup16 Feb, 2023Business

SPV (Special Purpose Vehicle) companies are separate legal entities created for people who are interested to purchase Buy to Let (BTL) properties. It has its own assets and liabilities, and legal status as well. The other uses of these types of companies include handling the transfer of any type of asset or loan to an existing business. However, the prime objective of setting up an SPV company is to isolate financial risk. For instance, if the parent company goes insolvent, the SPV can still continue with its operations. Thus, it is a ?bankruptcy-remote entity?.