Fundamentals of Contract for Sale of Business

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Like any other business transaction, sale of a business encompasses myriad of considerations. Such considerations often involve risk and its allocations to the parties involved. Parties often have to negotiate and agree upon the price, the allocation of sale price to various assets included in the sale price, and tax ramifications of such asset allocation, among others. Hence, it is incumbent upon seller and purchaser of a business to carefully and prudently evaluate such business transaction to eschew or mitigate potential and actual risks and pitfalls, to the extent possible. This article seeks to provide a panoramic perspective on such salient topic by exploring some of the most salient risks without a detailed analysis of corresponding risks.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Doron Eghbali, Law Advocate Group, LLP | Attorney Advertising

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