Lenders commonly require companies that form special purpose vehicles (SPVs) to take certain steps to safeguard assets during financing transactions. Companies may need to form a bankruptcy remote entity (also known as a bankruptcy remote vehicle), appoint one or more independent directors to their board, and more. These bankruptcy remote SPVs (or SPEs) play a crucial role in protecting investors from risk.
Delaware Trust solutions for bankruptcy remote entities
Delaware Trust can:
- Assist with forming your new limited liability company (LLC) or other entity
- Serve as the registered agent for receipt of service of process
- File annual reports to help you maintain your entity’s compliance in the state in which it is formed
- Provide independent directors, independent managers, or springing members
- Support tenant-in-common or other large programs requiring the formation and maintenance of multiple bankruptcy remote SPEs
For more information on bankruptcy remote entity services, please complete the form to the right.