Buying or selling a business, its assets, or even just materials or finished products within your industry can be complicated and taxing. A carefully drafted agreement must be in place whether you are buying or selling to ensure that you get or give exactly what and only that which you want to and nothing you do not. The Gabriel Law Office, PLLC can help you to determine what questions you need to be asking, and depending on the answers you receive, what terms should be included within the Purchase and Sale Agreement.
Most often, Purchase and Sale Agreements for the purchase and sale of a business come in one of two packages. First, there is the Asset Purchase Agreement. For the most part, using an Asset Purchase Agreement is the equivalent of the business (all of it assets, all of its employees, and every other aspect) being put up on a buffet line. This allows the purchaser to select those aspects of the business that it wishes to buy, and allows the purchaser to abstain from purchasing anything they do not wish to buy. The second type of Purchase and Sale Agreement is the Stock Purchase Agreement. Unlike the Asset Purchase Agreement, the original business never ceases to exist. Instead, the ownership of the business changes from seller to purchaser and the business continues as if everything was the same as it always was.
Many aspects need to be carefully considered including your potential liabilities, the value of the business, the operations of the business, and what all is coming or going with the sale. Employment Contracts, leases, licenses, mortgages, or websites may need to be transferred. Methods to finance the purchase and sale may need to be weighed. In all, having a professional in your corner to advise you and prepare the necessary Purchase and Sale Agreement is a vital component to a successful transaction. If you are interested in discussing how we may be of service to you in this respect, please contact us and we can start making sure that you get the help that you need. Let us help make sure that legal issues are not an issue for you or your business.
Purchase and Sale Agreements