International Cash Pooling

The application of cash management systems has various positive effects on corporate groups. Not only does it enable a corporate group to minimise its expenditure for banking services, but mainly it is an important tool to guarantee for a filled war chest. Only if the maximum financial strength of a corporate group is bundled, a holding company might be able to react quickly enough to market opportunities or threats. While setting up a cash pool in a multinational corporate group all involved jurisdictions must be taken into account.

This book

• provides an overview of the legal requirements of a cash pool system in 15 different countries
• enables the reader to get an idea of the chances and risks which will accompany the cash pool system involving the jurisdictions of his choice
• reflects from a company and insolvency law perspective how to assess the legitimacy of necessary up- and downstream loans, questions of capital maintenance and a potential liability for losses
• alerts the reader to crucial requirements, provisions and points, which are most important to deal with in the chosen configuration for the cash pool system Readership: Business and bank lawyers, in-house law departments of companies, banks' legal departments.