Buying a Business in California

Gilroy Buying a Business Attorneys, CA

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Buying a business can be an advantageous investment for both individuals and companies. However, the transaction is much more complicated than a traditional purchase.

There are Federal and California laws concerning mergers, acquisitions, negotiations and securities exchange that may impact the purchase of a business.

What Parts of the Business Am I Buying?

Buying a business in Gilroy is gaining the right to direct business operations. When a party directs operations as they see fit, their right is called ?control? of the business. Like ownership, control includes the right to all the property of the business as well as the assumption of the business 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. Federal and California guidelines define the process of due diligence, and sometimes legal consequences arise when these procedures are not followed properly. Following the process of due diligence faithfully, however, leads to a better informed decision about the purchase of the business. It can also help the ownership transfer to go more smoothly.

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.

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How Can a Gilroy Attorney Help?

In California, the law poses requirements for a party purchasing a business to fulfill. An attorney knowledgeable in California law practicing in Gilroy can help you comply with these laws and acquire control of the business you want to buy as cheaply as possible.

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