Legal Question in Business Law in New York

As a Franchise Attorney I can say this. Usually the seller's attorney provides the contract of sale and your attorney will review and revise. It's really a function of their hourly rate. Figure $400 to $500 per hour and two to four hours for an initial review with minor revisions. It depends on how good the underlying document is and the complexities involved. There may be and often are several revisions as negotiations progress. If you're buying stock of a corporation (which is assets and liabilities), as opposed to just assets, that's a different animal. Consult with a good business or franchise attorney in your area for specific advice.

Mr. Franchise - Kevin B. Murphy, B.S., M.B.A., J.D.

Franchise Foundations, a Professional Corporation

In addition to my colleague's remarks, though many times the seller's attorney drafts the agreement, it is in the buyer's best interest to present a first draft of the agreement whenever possible. Though, it may result in a slightly higher legal bill, the advantages of being the party presenting the initial draft are countless! In one instance, a client of mine insisted on presenting a first draft where we were able to include post sale contingencies, which ended up saving the client much more money than the cost of the additional legal work.

To better plan your budget, typically in smaller deals, attorney fees should not be more than 2% - 4% of the total deal. I like to engage my clients as partners in the negotiations process. This way the legal bill is lower and naturally the principals of the deal are able to agree on important matters much better than their attorneys can.

As my colleague suggested, you need to consult with a business attorney admitted to practice in New York. I would be happy to chat with you further. Feel free to contact my office at your earliest convenience.

Roman R. Fichman, Esq.

www.TheLegalist.com │ @TheLegalist

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