Sale of Assets, Equity Instruments & Other Businesses
The ‘Sale of Assets’ facet is held within the Ownership element of the ‘Amended Codes, or otherwise referred to as Series 100 and defined in Statement 102. This sub-meaurement is possibly the most underutilised and least understood sub-measurement, held within the Ownership element.
It is a fact that Ownership is a stumbling block for many traditional and family-owned businesses. However, it is a little known fact that by using the ‘Sale of Assets’ mechanism to obtain ‘Black’ Ownership, as opposed to the traditional selling of equity, presents tangible opportunities to support ‘Black’ entrepreneurs.
The Business Opportunity
Organisations frequently sell or dispose of assets which are regarded as non-crucial to their current operations. The sale of non-core, nonperforming or unrelated business units, happens on a regular basis, as organisations aim to focus and streamline their operations. Recent media activity - in May 2015 - highlights three such ‘Sale of Asset’ examples.