Buying a Business in New Jersey
Purchasing 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 occasionally come into play during the purchase of a business
What Parts of the Business Am I Buying?
When someone purchases a business in Verona, 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. Accordingly, the party purchasing a business will want a complete picture of the financial position of the business. Through a process called "due diligence", the financials of the company are disclosed. In the process of due diligence, Federal and New Jersey guidelines are used to inform both parties. If there is a violation from these guidelines, one party may be held legally accountable. Following the procedure 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 varies on the type of business, how much ownership stake you need to assert control, and the value of the business property. The procedure for how the right of control can be transferred or modified is defined by particular 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 Verona Attorney Help?
There are unique requirements in New Jersey that a party purchasing a business must fulfill. In Verona, an attorney experienced in New Jersey law can inform you about the peculiarities of your investment and outline the cheapest way for you to gain control.