Buying a Business in Kentucky

Investing in a business can be beneficial for companies and private parties. The transaction can be complicated, however.

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

What Parts of the Business Am I Buying?

The purchase of a business in Lawrenceburg is actually the purchasing 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. To balance the positives and negatives, the party buying a business must get a complete picture of the financial position of the business. Through a process called "due diligence", a buyer acquires this understanding. In the process of due diligence, Federal and Kentucky guidelines are used to inform both parties. If there is a violation 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 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?

The cost of a business mostly depends on how much ownership stake is required for control. The value of the business property and the type of business are also important factors. There are particular laws in Kentucky that dictate procedure for how the right of control of a company can be transferred and modified, and these procedures may make buying the business cheaper or more expensive, depending on a variety of factors.

How Can a Lawrenceburg Attorney Help?

Kentucky poses unique demands that a party purchasing a business must meet. Lawyers practicing in Lawrenceburg are experienced in Kentucky law, and can find the cheapest way for you to purchase control of a business.