Selling a Business in California

Hughson Business Attorneys Lawyers, CA

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Selling a business after years of work can be extremely profitable. Many businesses are created with the hopes that they will one day be acquired by a larger firm. The process of selling your business can be complex, however. Federal and California laws over mergers, acquisitions, negotiations and securities exchanges may be important in the transaction.

How Do I Sell a Business?

Obviously, the first step in selling a business is to either receive an offer or solicit one. In Hughson, purchase agents do more than simply find buyers. They also lend advice about which offers are worthwhile to consider. The purchaser may want financial records to be updated in accordance with California and Federal law. This may be required by law in some cases, and besides, it always helps in determining the correct value for the rights you are selling. Lastly, an agreement will be reached in the form of a written contract. All parties should review the contract to ensure that it reflects a complete understanding of what the parties have agreed.

What Will I Give Up in the Business?

In selling a business, the buyer gains a right known as "control". Control of a business entitles a party to direct its operations and it can also controls what is done with business property. Since buyers in Hughson are generally concerned with acquiring control, they may be willing to allow other rights, such as the right to future earnings, to remain with the seller in exchange for the cheapest price on the right of control. The wide variety of concerns that buyers may have make the negotiations process particularly vital. It's important at the outset for each party to make plain their intentions and concerns.

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How Can an Attorney Help?

In selling a business, the seller must meet the requirements of California law. A local attorney practicing in Hughson will be able to advise you about your particular sale.

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