If you're planning to sell, bring in new investors or restructure your business, understanding the scope of the National Security and Investment Act 2021 (NSIA) is essential.

As highlighted in the July issue of UK Private Company Director, the NSIA gives the UK government wide-ranging powers to scrutinise certain transactions – even those involving small businesses – and to intervene where national security may be at risk.

Critically, the regime does not just apply to foreign buyers or major M&A deals. Owners can be caught out by routine corporate actions such as reorganisations, new shareholder agreements or board appointments – particularly where the business operates in one of 17 defined sensitive sectors.

In this clear and practical overview, Josh Smith of law firm RPC outlines what the NSIA covers, the risks of getting it wrong, and why early advice is key to avoiding delays, added costs or, in some cases, the invalidation of a transaction.

Read the full article here.