Business Sales & Purchases

Business Sales & Purchases

If you are about to buy or sell a business, you may have already considered the commercial and financial prospects of the deal. It is important to ensure that your expectations are borne out in the sale contract.


The Buyer must identify what they are buying and what is valuable and essential about the business. The assets of a business sale can include goodwill, plant & equipment, stock, business names, intellectual property, supply rights, material contracts and more. Just as critical, there may be key employees or managers that need to be retained in the short term to minimise disruption. Another important consideration is the appropriate business structure in which the Buyer will buy the business. There may be significant short and long term consequences of getting this wrong.


Due diligence is also a very important. Except in special cases, we usually suggest a due diligence period for Buyers during which they can review the business financials, trading history and any other information they need to satisfy themselves that they are getting what was advertised.


The Seller’s priorities are of course different. The Seller will need to ensure that they can deliver the assets at the completion date, and of course, that they will get paid.


The considerations are almost endless depending on the industry and the nature of the business. It is crucial that both Buyers and Sellers obtain legal advice before signing a sale contract.