FL Corporations


Revisiting buying assets and shares of a business

You may be excited to close immediately on a business asset purchase that has caught your interest. SLOW DOWN! First things first, let us do your due diligence to investigate whether there are leans on the business assets. If you are in circumstances that are moving the closing at break neck speeds, we will be glad to draft your contract with a hold back, to offset any hidden expenses. We will be sure the state and local transfer taxes will be paid by the seller and we will be sure the amount is accounted for when we formulate the amount needed in the closing. Furthermore, we will help assign a price to the business assets so they will know what amount they may begin the devaluation at. We will also help back up major asset valuations with appraisals in case of an audit. Additionally, we will require the sellers (if applicable) to show proof of a bulk sales notice to its creditors at the closing.

Likewise, if you are interested in the purchase of corporate stock of the existing company the taxing situation is more complex. We will make sure there is a disclosure requirement by the seller so we may check with the federal, state and county governments on any outstanding taxes owed prior to closing. Again if you are in a bind and need to close quickly we can provide for a holdback to cover some unexpected back taxes.