Buying a Business in Indiana
Investing in a business can be profitable for companies and private parties. The transaction can be complicated, however.
Specific regulations concerning mergers, acquisitions, negotiations or securities exchanges may be implicated when you buy a business. These areas are all governed by Federal and Indiana law.
What Parts of the Business Am I Buying?
The purchase of a business in Greencastle is actually the buying of a right called "control". With this right, a party can direct business operations as it sees fit, it acquires ownership of business assets, and it assumes liability for all business debts. Accordingly, the party buying a business will want a complete picture of the financial position of the business. Through a process called "due diligence", the financials of the company are disclosed. In the process of due diligence, Federal and Indiana 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 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?
The price of a business depends on the value of the ownership stake that is necessary to exert control, and this in turn is decided somewhat by the value of the business property and the type of business. The process for how the right of control can be transferred or modified is defined by specific laws in Indiana. Procedures may make buying a business more or less expensive than simply the market value of its assets.
How Can a Greencastle Attorney Help?
There are unique requirements in Indiana that a party purchasing a business must fulfill. In Greencastle, an attorney knowledgeable in Indiana law can inform you about the peculiarities of your investment and outline the cheapest way for you to gain control.