Buying a Business in Wisconsin

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.

Buying a business sometimes involves laws concerning mergers, acquisitions, negotiations or securities exchanges. These fields are governed by Wisconsin and Federal law.

What Parts of the Business Am I Buying?

When someone buys a business in Racine County, 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 buying 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 Wisconsin guidelines are used to inform both parties. If there is a deviation from these guidelines, one party may be held legally accountable. 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?

Control of a business is sold for an amount that is necessary for a party to acquire an ownership stake. The value of the business property and the type of business factor in to determine the exact price. There are specific laws in Wisconsin that dictate procedure for how the right of control of a company can be transferred and modified, and these procedures may make buying the business cheaper or more expensive, depending on a variety of factors.

How Can a Racine County Attorney Help?

Wisconsin poses unique demands that a party purchasing a business must meet. Attorneys practicing in Racine County are knowledgeable in Wisconsin law, and can find the cheapest way for you to purchase control of a business.