Buying a Business in New Jersey

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

Federal and New Jersey law concerning mergers, acquisitions, negotiations and securities exchange sometimes come into play during the purchase of a business

What Parts of the Business Am I Buying?

When someone buys a business in Mantua, 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 New Jersey guidelines are used in the process of due diligence, and not following these guidelines can lead to legal consequences. 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?

The price of a business depends on the value of the ownership stake that is necessary to exert control, and this in turn is decided somewhat by the value of the business property and the type of business. The process for how the right of control can be transferred or modified is defined by specific laws in New Jersey. Procedures may make buying a business more or less expensive than simply the market value of its assets.

How Can a Mantua Attorney Help?

In New Jersey, the law poses requirements for a party purchasing a business to fulfill. An attorney knowledgeable in New Jersey law practicing in Mantua can help you comply with these laws and acquire control of the business you want to buy as cheaply as possible.