X

ABOUT BUSINESS LAW

(The process described below can also apply to a vendor selling a business).

At this stage I can prepare an offer to purchase in writing. I will work with you and the vendor's lawyer and any commercial real estate agent to ensure that the written agreement covers al the essential terms of sale. They include names of vendor and purchaser, the price to be paid, how that is made up (tangible assets such as plant and equipment, fittings, fixtures, stock in trade, intangible assets such as goodwill), the deposit payable, the final settlement date, date of possession of the business.

In addition there may be a number of special conditions which need to be clearly stated in the agreement. There may be a need to hand over lists of suppliers, lists of regular customers. You as buyer must be assured that they are obtaining ownership of all assets listed and agreed to. Any liabilities that you as buyer are assuming must be clearly stated. Tax issues may require the attention of your accountant. You may need your accountant to check over the financial statements of the business before you buy.

Will you as buyer be purchasing as a sole trader, in partnership or as a limited liability company? There may be a need to prepare and sign a partnership agreement or to form a company.

But a business is often located in commercial premises, which also needs checking out. If you are leasing the shop or office to ensure you have the location to operate from, then the lease history of the original lease including rights of renewal and any assignments of the lease to previous owners of the business will need to be carefully checked.
The landlord's prior written approval to an assignment of the lease to you together with any rights of renewal will need to be obtained before you buy the business. You may need to enter into an entirely new lease with the landlord. After all, you cannot operate the business unless the premises are secured.

I have assisted clients to purchase a wide variety of shops and commercial premises businesses. From time to time I have arranged the purchase, under franchise agreements of lawn mowing and other mobile businesses.

My experience and expertise is available to you to ensure that your purchase or your sale is successfully concluded. The process described about is often as applicable to the vendor and to the purchaser.

In keeping with my wish to keep matters as stress free as possible for you, I will spend the time with you, to ensure that happens. I will also liaise with other parties involved in the process, such as the real estate agent, the other party's lawyer, the landlord's lawyer and your accountant.

Before we proceed, you will sign a letter of engagement for legal services which will set out the services to be provided and the likely fee to be incurred. There should be no surprises and the transaction should be as smooth as possible. I aim to be as successful in my business of assisting you, as you intend to be in operating your business.