Buying a Business in Massachusetts

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

Federal and Massachusetts law concerning mergers, acquisitions, negotiations and securities exchange sometimes come into play during the purchase of a business

What Parts of the Business Am I Buying?

When someone buys a business in Marlborough, 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. A complete picture of the financial position of the business is important for the buyer to make his decision. This picture is gained through a process called "due diligence". The process of due diligence uses Federal and Massachusetts guidelines to protect both parties. If these guidelines are not followed, a party may be found in breach of a legal duty. However, due diligence will lead to a better informed decision concerning whether you want to buy the business. Also, it will help the business to transition more smoothly to new ownership.

How Much Will the Business Cost?

Control of a business is sold for an amount that is necessary for a party to acquire an ownership stake. The value of the business property and the type of business factor in to determine the exact price. The process for how the right of control can be transferred or modified is defined by specific laws in Massachusetts. Procedures may make buying a business more or less expensive than simply the market value of its assets.

How Can a Marlborough Attorney Help?

The laws in Massachusetts place many unique demands on parties seeking to purchase businesses. An attorney in Marlborough, 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.