Legal Question in Business Law in California

Re: Selling a business

The buyers can ask for anything they want and if they don't get it, they can refuse to make the purchase. Regardless, there should be at the very least a sales agreement with attorneys on both sides of the transaction.

Re: Selling a business

It would be very, very unwise to sell a business without having an attorney assist you. Haven't you ever met someone who sold their business and then had to go into bankruptcy because of the mess they made for themselves? If not, then you just don't know it because they are too embarrassed to tell anyone. There are too many things to watch for to list here. You can talk with our CA member contact about consulting; even an hour will be well worth the cost.

Re: Selling a business

You would be unwise to negotiate and sell without having a thorough written agreement containing the rights and responsibilities of both parties. A little money now on attorney fees will seem well spent, compared to lots of fees later when a dispute over unresolved terms or breaches has to be litigated. Information withheld from the buyer would be grounds for a claim of 'fraud' later if the business isn't what he thought he paid for. Feel free to contact me if you get serious about doing this right, and having counsel protect you in an agreement.

Re: Selling a business

The simple answer to your question is: Yes, we can help.

You do not state in what stage you are at in selling your business (i.e., whether you have a buyer, whether there is a signed letter of intent, whether you have engaged the services of a business broker to help find a buyer, whether you have a clear understanding of what your business is worth or whether you have engaged the assistance of a business evaluator to help you in that regard, whether you plan to stay on for a transition period as a consultant, whether you are selling the entire business entity or just the assets, and so forth. As you can see, there is a lot involved in selling a business, and it is to your benefit to hire an attorney at the outset to guide you through the process and help you engage the people you need to engage to make sure (a) you maximize your return on the sale, (b) that the sale is structured in a manner that meets your needs, and (c) that you are fully protected in the event the sale does not go through.

If you want our help, please call us.