What are some tips for buying a business in San Diego and how can you protect your interests? Buying a business requires legal experience and expertise. The business acquisition attorneys at the Watkins Firm have decades of experience in Asset Purchase and Stock Purchase transactions. We can help you to accomplish your goals while protecting you from unforeseen liabilities. The key to these transactions is supporting the cooperative and positive working environment between the parties while working to ensure our client’s interests are maximized.
The seller wants to get as much cash as possible and walk away from the transaction with no responsibilities or future liabilities. This is simply not in the buyer’s best interests. The first step is to negotiate the terms of the transaction and the manner in which you wish to acquire the business interests you seek.
An asset purchase offers much less risk to a buyer. In these transactions we ensure that all aspects of the assets to be acquired are known and incorporated into the transaction. Clear title to all assets must be assured. We also work to accomplish due diligence to ascertain the present condition or state of the assets and that the seller has properly disclosed all known defects or issues. The mergers and acquisitions attorneys at the Watkins Firm also work to determine any associated debts, UCC forms and other encumbrances which may cloud the clear title to the assets in question.
If you are purchasing the entire company this is usually accomplished through a stock purchase agreement. This allows you to “step into the shoes” of the owner. We work to ensure all financials are verified and to establish appropriate inspections and set-asides for unknown future liabilities. It is also a normal practice to ensure that the seller maintains an active role during the transition to ensure that all customer Goodwill and existing relationships and vendors are successfully transferred.
If you are considering buying an existing business contact the Watkins Firm for tips for buying a business in San Diego while protecting your interests. We invite you to call for a free consultation at 858-535-1511.