I’ve been working on a complicated business sale agreement this week. Among other things:
- Control of the buying company has to be changed with a change of shareholders and directors.
- The selling company need to change its name so that the buying company can register a business name similar to the selling company’s original name
- The main person from the selling company is staying on for 4 years as a consultant;
- The selling company is providing vendor finance and there are other loans being made and paid back
- If things do not work out, there is a right to re-transfer the business back to the selling company.
For assistance with contracts of sale, see Michael Paterson & Associates.