Business Law

One advantage of selling to a non-grantor trust is that it allows you to lock in the capital gains at a fixed value while deferring the recognition of the gain until payments are made under the promissory note. This strategy can effectively transfer the appreciation in value to the trust beneficiaries.

A value gap is the difference between what a seller thinks his/her business is worth and what the actual fair market value of the business-increase your value (decrease your "Gap") with strong management team,loyal & diverse customer base, competitive advantage & scaleable & efficient operation.

What are the advantages and disadvantages of a management buyout?: Managers know the business, suppliers, vendors, and clients/customers. If they have “skin in the game” in the form of their own invested capital, they’ll be more motivated to keep the business profitable.

I have seen myriad Letter of Intent (LOIs), from bare-bones versions to extremely detailed and comprehensive LOIs. A more detailed LOI may serve you best, simply because it makes negotiating the definitive purchase agreement and ancillary agreements easier.

What do strategic buyers look for? Strategic buyers look at your business as a way of enhancing products or services they already sell, but you may give them a geographic or strategic advantage by allowing them to open in new markets or access new customers.

Private equity (PE) buyers focus on investments that will yield significant financial returns to their investors over a specific time. Read on for more.

The most basic form of partnership is a general partnership (GP). In a limited partnership (LP), by state law you must have at least one general partner (GP) and one or more limited partners. There's also the limited liability partnership (LLP).  LLPs are commonly used by professionals, such as accountants, lawyers, and sometimes doctors.