Buying a Business in South Carolina
Purchasing a business can yield great profits in the future. However, individuals and companies looking to buy businesses should be aware of the complications of the transaction.
There are Federal and South Carolina laws concerning mergers, acquisitions, negotiations and securities exchange that may impact the purchase of a business.
What Parts of the Business Am I Buying?
When someone purchases a business in Summerville, 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. To balance the positives and negatives, the party buying a business must get a complete picture of the financial position of the business. Through a process called "due diligence", a buyer acquires this understanding. Federal and South Carolina guidelines define the process of due diligence, and occasionally legal consequences arise when these procedures are not followed 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?
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 South Carolina. Procedures may make buying a business more or less expensive than simply the market value of its assets.
How Can a Summerville Attorney Help?
In South Carolina, the law poses requirements for a party purchasing a business to fulfill. An attorney experienced in South Carolina law practicing in Summerville can help you comply with these laws and acquire control of the business you want to buy as cheaply as possible.