Buying a Business in New Hampshire
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 New Hampshire and Federal law.
What Parts of the Business Am I Buying?
If a party wants to direct business operations, the best way is to acquire a right called "control". With control of a business, the party gains all assets and the customer base of the business, plus it also assumed the company's debts. To make his decision, a purchaser will want a complete picture of the financial position of the business. Through a process called "due diligence", a company's financials become clear. Through due diligence, federal and New Hampshire guidelines are used to inform both parties, and there may be legal consequences for not following these guidelines properly. However, obedience to the process of due diligence leads to a better informed decision about purchasing the business. And afterwards, it may also help the ownership transfer to go more smoothly.
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 procedure for how the right of control can be transferred or modified is defined by particular laws in New Hampshire. Procedures may make buying a business more or less expensive than simply the market value of its assets.
How Can a Portsmouth Attorney Help?
In New Hampshire, the law poses requirements for a party purchasing a business to fulfill. An attorney experienced in New Hampshire law practicing in Portsmouth can help you comply with these laws and acquire control of the business you want to buy as cheaply as possible.