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 Mount Washington 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. Accordingly, the party purchasing 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. Through due diligence, federal and Kentucky guidelines are used to inform both parties, and there may be legal consequences for not following these guidelines properly. However, obedience to the process of due diligence leads to a better informed decision about purchasing the business. And afterwards, it may also help the ownership transfer to go more smoothly.

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. The procedure for how the right of control can be transferred or modified is defined by particular laws in Kentucky. Procedures may make buying a business more or less expensive than simply the market value of its assets.

How Can a Mount Washington Attorney Help?

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