Buying a Business in North Dakota

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 Dakota and Federal law.

What Parts of the Business Am I Buying?

The purchase of a business in Fargo is actually the purchasing of a right called "control". With this right, a party can direct business operations as it sees fit, it acquires ownership of business assets, and it assumes liability for all business debts. In order to protect the interests of all parties, there must be an accurate and complete picture of the financial position of the business. This picture of the company's financials is acquired through a process known as "due diligence". Federal and North Dakota guidelines are used in the process of due diligence, and not using these guidelines can lead to legal consequences. Following the process of due diligence dutifully is the best way to inform oneself for whether to purchase a business. Also if the business is eventually bought, transfers of ownership happen much more easily once the process is followed.

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

How Can a Fargo Attorney Help?

There are unique requirements in North Dakota that a party purchasing a business must fulfill. In Fargo, an attorney experienced in North Dakota law can inform you about the peculiarities of your investment and outline the cheapest way for you to purchase control.