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 Pennsville, 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 define the process of due diligence, and sometimes legal consequences arise when these procedures are not followed properly. Following the process of due diligence faithfully, however, leads to a better informed decision about the purchase of the business. It can also help the ownership transfer to go more smoothly.
How Much Will the Business Cost?
How much a business will cost depends on the type of business, how much ownership stake you need to assert control, and the value of the business property. 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 Pennsville 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 Pennsville can help you comply with these laws and acquire control of the business you want to buy as cheaply as possible.