Business Sales & Purchases
Buying or Selling a Business is a major financial decision which warrants careful attention to the legal risks. Getting it wrong can have long lasting impacts.
Business sales involve significant risk for both the Buyer and the Seller. Managing that risk is critical to ensure that your decision to invest, or sell, is a smart one.
Pre-Sale Readiness Procedures, including Preparation of Asset Registers and Restructuring to Minimise Risk or Tax
Business Sale Contract Drafting, Review & Negotiation, including negotiation of warranties and indemnities to address key legal risks
Negotiation of Contract Pre-Conditions, or Related Contracts (such as Business Premises Sales)
Negotiation and Facilitation of Purchase Price Retentions, Seller Earn Outs, and Other Special Terms
Buyer Due Diligence & Seller Disclosure (including Online Data Rooms)
Satisfaction of Pre-Settlement Conditions, Liaison with Financiers and other Third Parties & Attendance of Settlement
Finance & Securitisation, including Vendor Finance Arrangements
Buying a Business
Many Business Buyers make the mistake of not obtaining appropriate legal advice prior to making an offer, or signing a contract. As a consequence, such Buyers take on significant risks or costs (e.g. tax) which they could have easily avoided with appropriate Business Sale advice.
The 3 key questions to ask yourself before buying a business are:
1. Have I set up the best structure to purchase / operate the Business?
To decide what structure is most suitable to purchase and operate the Business, you will need to consider the nature of the Business, the potential speed of growth post-acquisition, and the risks associated with trading activities.
Setting up legal structures for Business acquisitions is our bread and butter. Contact us now for a free consultation to discuss your structuring options.
2. How can I Minimise my Tax on Business income using a Family Trust?
Business income is generally only treated as your personal income if you are a Sole Trader. However, using any other legal structure (such as a Company or Trust), such income will be assessed separately at the applicable income tax rate.
After you purchase the Business, if you wish to minimise your taxes, and maximise your profits, reach out now to discuss the tax flexibility offered by family trusts.
3. How can I implement Asset Protection to protect my Assets from Business Risk?
Another common mistake is to unnecessarily expose valuable Business Assets to trading risk.
Contact us now for a free asset protection consultation before proceeding with your Business purchase.