Buying a Business in Michigan
Investing in a business can be advantageous for companies and private parties. The transaction can be complicated, however.
There are specific laws in Michigan and the US that concern negotiations, mergers, acquisitions and securities exchanges. You may need to consider how these laws impact your situation before you buy a business.
What Parts of the Business Am I Buying?
When someone buys a business in Oakland County, 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". Federal and Michigan guidelines define the process of due diligence, and sometimes legal consequences arise when these procedures are not followed properly. 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?
How much the right of control will cost depends on how much ownership stake is required. The value of the property of the business may add to the price as well. The process for how the right of control can be transferred or modified is defined by specific laws in Michigan. Procedures may make buying a business more or less expensive than simply the market value of its assets.
How Can a Oakland County Attorney Help?
The laws in Michigan place many unique demands on parties seeking to purchase businesses. An attorney in Oakland County, Michigan 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.