Scottish Entitlements – A Seller’s Guide
This is the process for selling your entitlements from your initial contact to confirmation of transfer:
- On first contact (general enquiry) Townsend Chartered Surveyors (TCS) will need your name, telephone number, email address, type of entitlements and whether you are VAT registered. We may also ask you to confirm whether your entitlements were claimed on in 2017 or 2018. We will also confirm our charges. We do not charge the Buyer and will only be acting for you.
- At this stage although not imperative it would be helpful if you could authorise Townsend Chartered Surveyors (TCS) on the Rural Payments online system to act as your agents in respect to entitlements. This will enable TCS to confirm the type and amount of entitlements you hold and that they are available for transfer and to collect all the data required for a transfer including your RPID business name, address, BRN number, Main Location Code (MLC), VAT number etc.
- TCS will then bring you offers for your entitlements via email or telephone.
- Once both sides, Seller and Buyer, have agreed a price through TCS, TCS will create the paperwork and email/post to both sides the particulars of sale including our Standard Terms & Conditions.
- As the Seller you will be required to print out, sign and return by email/fax or post an authority letter, which is included with the particulars of sale, confirming your business details, the RPID business name, BRN and MLC of the Transferor and the Seller’s VAT number. The Buyer will be required to send in the purchase monies to confirm they wish to go ahead.
- Following receipt of the signed and completed authority letter from the Seller, and the signed copies of the PF23 transfer application form, plus receipt of the cleared Total Price on Townsend’s client account from the Buyer, TCS will exchange contracts (and the Transfer is then legally binding on both parties), and submit the completed PF23 transfer application form to RPID.
- TCS will then write to confirm exchange of contracts and provide a copy of the submitted PF23 transfer application form to both parties. Exchange is officially when both Parties are posted/emailed a confirmation of Exchange of Contracts by TCS. Both Parties should once again check the details set out in the copy PF23 application form, and ensure they notify TCS if they believe there are any errors, by return.
- The Total Price will be held by TCS as stakeholder on an RICS audited and insured client/stakeholder account until RPID have confirmed in writing that the transfer has been successful. Please note no interest will be paid in respect of the monies whilst held by TCS as stakeholder.
- Once the transfer application is processed RPID will confirm the transfer in writing to the Seller and Buyer (and also to the agent authorised for the Seller). The date this occurs will be considered to be the Completion Date.
- Subject to the Transfer being processed correctly by the RPID, TCS will then send the Buyer an appropriate receipted invoice on behalf of the Seller, and release the Total Price less the commission and additional fees (if any) to the Seller.
- Full details of the contract between the parties will be set out in our Standard Sales Terms & Conditions for Permanent Transfer of BPS Entitlements.