Buying a Business in California
Buying a business can be an advantageous investment for both individuals and companies. However, the transaction is much more complicated than a usual purchase.
Buying a business sometimes involves laws concerning mergers, acquisitions, negotiations or securities exchanges. These fields are governed by California and Federal law.
What Parts of the Business Am I Buying?
If a party wants to direct business operations, the best way is to acquire a right called "control". With control of a business, the party acquires all assets and the customer base of the business, plus it also assumed the company's debts. To make his decision, a buyer will want a complete picture of the financial position of the business. Through a process called "due diligence", a company's financials become clear. In the process of due diligence, Federal and California guidelines are used to inform both parties. If there is a deviation from these guidelines, one party may be held legally accountable. Following the process of due diligence dutifully is the best way to inform oneself for whether to buy a business. Also if the business is eventually bought, transfers of ownership happen much more easily once the process is followed.
How Much Will the Business Cost?
How much a business will cost depends on the type of business, how much ownership stake you need to assert control, and the value of the business property. The process for how the right of control can be transferred or modified is defined by specific laws in California. Procedures may make buying a business more or less expensive than simply the market value of its assets.
Find a Bakersfield Lawyer that Specializes in Your Area of Need:
Buying a Business Attorneys and Law Firms in the Largest CA Cities
Life in BakersfieldBakersfield, California is a city of over 300,000 people, located in Kern County, roughly at the midpoint between Los Angeles and Fresno. Bakersfield is considered one of the sunniest places in the United States.
Bakersfield, California's economy mostly revolves around oil and agriculture. Its other sectors largely operate in support of those major industries. In fact, Kern County is the most oil-productive county in the U.S. - and is responsible for about 10% of America's domestic oil production. Kern County is also one of the most agriculturally-productive regions in the United States, and is particularly well-suited for growing grapes, citrus fruit, roses, and almonds. Needless to say, Bakersfield is, and will continue to be, a very important part of America's economy.
More recently, however, other industries (such as manufacturing) have moved into Bakersfield, California, thanks to an abundance of inexpensive land.
In addition to the steady economic stimulus provided by industry, Bakersfield, California, has another relatively stable economic lifeline: a large four-year university. California State University, Bakersfield has approximately 7,800 students, from all over California, and the country.
It should go without saying, then, that there is no shortage of Bakersfield, California lawyers. Whatever legal issue you or a loved one might be facing, a Bakersfield, California lawyer can help.
How Can a Bakersfield Attorney Help?
In California, the law poses requirements for a party purchasing a business to fulfill. An attorney knowledgeable in California law practicing in Bakersfield can help you comply with these laws and acquire control of the business you want to buy as cheaply as possible.