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 occasionally come into play during the purchase of a business
What Parts of the Business Am I Buying?
When someone purchases a business in Norwell, 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 purchaser to make his decision. This picture is acquired through a process called "due diligence". Federal and Massachusetts guidelines define the process of due diligence, and occasionally legal consequences arise when these procedures are not followed properly. Following the procedure 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?
How much the right of control will cost depends on how much ownership stake is required. The value of the property of the business might add to the price as well. 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 Norwell Attorney Help?
The laws in Massachusetts place many unique demands on parties seeking to purchase businesses. An attorney in Norwell, 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.