BUSINESS PURCHASES AND SALES

The sale and purchase of a business can be a complex, multifaceted process. It is pivotal to ensure the sale contract is drafted carefully and terms are drafted to reflect negotiations between the parties. Some important terms include payment, terms of sale, transfer of assets and intellectual property, restraints on competition and dispute resolution.
It is essential that both vendors and purchasers carry out due diligence. For vendors this means ensuring the business is compliant and business records are tidy, including any current contracts and licences. For purchasers this means conducting thorough inspections of business records and physical assets to establish a sound understanding of the business’ profitability, condition of equipment and ownership of assets.