Legal Question in Business Law in California

Re: Fictitious Business Name

Buying a business is not a trivial matter, and there may be a great many steps whose nature depends on the type and complexity of the business.

If the business is a corporation, the transaction involves transfer of the shares from the sellers to the buyers and reflecting the transfer on the corporation's records.

If the business is a sole proprietorship, you need to be concerned with transfer of the assets by bill of sale and assumption of liabilities including notice to creditors and complying with the bulk transfer laws.

You also need to deal with employer identification numbers, tax registration, business license, bank signature cards, insurance policies and anything else where the identity of the owner of the business is significant.

If you are buying the business for $1, you need to exercise some caution that you are not acting as an unwitting accomplice to an effort to defraud the creditors of the business or assuming liability for pending lawsuits without your knowledge. Investigate thoroughly and get insurance.

If the business has significant assets, liabilities or operations, or has employees, you should use a lawyer.

Re: Fictitious Business Name

file a Fictitious Business Name statement