How Can an Attorney Help You For Selling or Purchasing a Privately Held Business?
Are you are considering buying or selling a privately held business. You must keep in mind that these are complex transactions with both legal and tax risks, which must be addressed. For Selling a Privately Held Business There will be different legal concerns and tax consequences . Such as if the business entity is a sole proprietorship, a partnership, a corporation or a limited liability company. The business entity documents may govern the process of the sale of the business. There are various options for transferring ownership of the business. The simplest is an outright sale. In this situation you transfer ownership and receive the total purchase price at closing. However, sometimes purchasers do not have enough cash on hand and may attempt to negotiate an installment sale, retain a promissory note executed by the purchaser etc. The next step includes drafting a purchase agreement. This will cover what is being sold, including equipment, inventory. Also, intell