Buying a Business in Georgia
Purchasing a business can be an beneficial investment for both individuals and companies. However, the transaction is much more complicated than an usual purchase.
Federal and Georgia law concerning mergers, acquisitions, negotiations and securities exchange occasionally come into play during the purchase of a business
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 gains all assets and the customer base of the business, plus it also assumed the company's debts. In order to protect the interests of all parties, there must be an accurate and complete picture of the financial position of the business. This picture of the company's financials is acquired through a process known as "due diligence". The process of due diligence uses Federal and Georgia guidelines to protect both parties. If these guidelines are not followed, a party might be found in breach of a legal duty. Following the process of due diligence dutifully is the best way to inform oneself for whether to purchase 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 the right of control will cost depends on how much ownership stake is required. The value of the property of the business might add to the price as well. The procedure for how the right of control can be transferred or modified is defined by particular laws in Georgia. Procedures may make buying a business more or less expensive than simply the market value of its assets.
How Can a Eastman Attorney Help?
There are unique requirements in Georgia that a party purchasing a business must fulfill. In Eastman, an attorney experienced in Georgia law can inform you about the peculiarities of your investment and outline the cheapest way for you to purchase control.