Buying a Business in Virginia

The investing in a business can be the shortest route to a great return. Individuals and companies seeking to buy businesses should be aware of the complications that can arise, however.

Specific regulations concerning mergers, acquisitions, negotiations or securities exchanges may be implicated when you buy a business. These areas are all governed by Federal and Virginia law.

What Parts of the Business Am I Buying?

Buying a business in Covington is gaining the right to direct business operations. When a party directs operations as they see fit, their right is called ?control? of the business. Like ownership, control includes the right to all the property of the business as well as the assumption of the business debts. 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 Virginia guidelines define the process of due diligence, and sometimes legal consequences arise when these procedures are not followed properly. However, the best informed decision about whether to buy the business can only be obtained through obedience to the due diligence process. Added benefits also include a smoother transition once the business is purchased.

How Much Will the Business Cost?

How much the right of control will cost depends on how much ownership stake is required. The value of the property of the business may add to the price as well. The process for how the right of control can be transferred or modified is defined by specific laws in Virginia. Procedures may make buying a business more or less expensive than simply the market value of its assets.

How Can a Covington Attorney Help?

There are unique requirements in Virginia that a party purchasing a business must fulfill. In Covington, an attorney knowledgeable in Virginia law can inform you about the peculiarities of your investment and outline the cheapest way for you to gain control.