Buying a Business in North Carolina

Purchasing a business can be a worthwhile investment, but whether it is purchased by an individual or another company, the transaction is complicated.

Purchasing a business occasionally involves laws concerning mergers, acquisitions, negotiations or securities exchanges. These fields are governed by North Carolina and Federal law.

What Parts of the Business Am I Buying?

When someone purchases a business in Hillsborough, 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". The process of due diligence uses Federal and North Carolina guidelines to protect both parties. If these guidelines are not followed, a party might be found in breach of a legal duty. However, due diligence will lead to a better informed decision concerning whether you want to purchase the business. Also, it will help the business to transition more smoothly to new ownership.

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 North Carolina. Procedures may make buying a business more or less expensive than simply the market value of its assets.

How Can a Hillsborough Attorney Help?

North Carolina poses unique demands that a party purchasing a business must meet. Lawyers practicing in Hillsborough are experienced in North Carolina law, and can find the cheapest way for you to purchase control of a business.