Contracts We Can Help With When Selling or Buying a Business
In commercial business sales Coronado, you will come across several contracts. Some of these contracts are legally binding while others are not. It is our duty as So-Cal Business Brokers to help you understand the necessary contracts and help draft foolproof contracts. For the buyers, our team can help you understand the details on the contract sent to you by a seller.
Whether you are selling or buying a business, it is imperative that you take the time to plan carefully. Our team will offer expert advice to help you better assess the risks, set clear goals and also develop a good strategy to achieve your aims. We will be by your side throughout the sale or purchase. Our advice is for you to contact us early, before you initiate commercial business sales Coronado.
In our experience, the first contract you will end up signing is one with the financial adviser for tax and finance advice. You will also have to sign a contract with the solicitor for legal advice. Since you will be appointing us to approach potential buyers/sellers, a contract with us is one of the first contracts you will sign. We highly recommend that you define the fee structures and tasks clearly before giving us the go ahead.
Confidentiality/ non-disclosure agreement
Once you hire us, the first thing we will do is draft a legally binding non-disclosure/ confidentiality agreement. This is a document that has to be signed by potential buyer before they can get the sales memorandum. The purpose of this document is to ensure that the sale remains a secret.
Our in-house team will draft a detailed sales memorandum. This document is not legally binding. In this document, the following details will be included:
- Business sector
- Duration the business has been trading
- Main financial details such as cash flow, total debt, asset value and profit
- Employees including details about their age, job description, salaries, benefits and length of service.
- Location of the business, its size and details on leases
- Structure of the sale; are you selling part or all of the business.
Purchase offers must be in writing. After getting an offer, we will request buyers to put the offer in writing. This is done in the form of a letter which sets out the main details. If you are a buyer, we will help you draft a contract to go with your offer.
Are you getting ready for commercial business sales Coronado, we can help. Give us a call now and learn more on how we can help.