Buying a Business in Massachusetts

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

Federal and Massachusetts 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?

When someone purchases a business in Charlton, they are actually gaining the right to direct business operations as they see fit. This right is called ?control? of the business. Control entails ownership of all the assets and customer base of the business, but it also includes the responsibility for that company?s debts and liabilities. 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. The process of due diligence uses Federal and Massachusetts guidelines to protect both parties. If these guidelines are not followed, a party might be found in breach of a legal duty. 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 Massachusetts. Procedures may make buying a business more or less expensive than simply the market value of its assets.

How Can a Charlton Attorney Help?

The laws in Massachusetts place many unique demands on parties seeking to purchase businesses. An attorney in Charlton, Massachusetts can inform you of the particularities of your investment as it relates to local law, as well as advise you of the least costly route to acquiring control.