Buying or selling a business (including an existing franchise business) is a complicated transaction, with many issues at stake. Contrary to popular beliefs, buying or selling a business is not a “simple”, “form” type of transaction, regardless of the purchase price involved.
For a prospective buyer of a business, it is critical to have a thorough understanding of the business you wish to purchase prior to making your commitment and investment. It is equally important to reach a comprehensive contract of sale or purchase agreement with the seller in order to avoid costly surprises and to minimize your exposure to unwanted liability that could lead to serious legal complications after your purchase.
As a prospective seller of a business, you are required to produce information and documents to the prospective buyer as part of the due diligence process, and are expected to give warranty and representations in the contract of sale. Both the due diligence disclosure and contract negotiation process must be handled properly to protect the seller’s trade secrets and confidential information, and to protect the seller from unwanted legal liability and law suits.
Stella S. Liu, Esq. provides advice and guidance to the buyer or seller at each step, including performing due diligence investigation, negotiation of the terms and conditions of the transaction, preparing and reviewing contracts and other legal documents, and closing of the transaction. Each contract or legal document is custom-designed to suit the needs of each transaction. Stella adopts a comprehensive, proactive approach in protecting her clients’ interests while pursuing her clients’ objectives.