Oakland County Business Attorney
Buying a business in Oakland County
Can be the most exciting time in one’s professional career. It can be daunting, but with the right legal help, very rewarding. Our business clients look forward to creating opportunities, working for themselves, and starting a new pathway.
When buying a business, one must determine whether the true intention is to buy only the interest in the entity, or the entity itself, or the assets the entity owns. The decision may depend on what the buyer wishes to assume, the particular details of the deal, and various tax considerations. A buyer’s lender may even require it to assume the business interest itself.
WHAT TO CONSIDER WHEN PURCHASING A
BUSINESS IN OAKLAND COUNTY?
Depending on whether an entity interest or assets are the focal point of purchase, buyers will want to minimally be aware of the following:
- The value of the assets (and liabilities in the case of an entity interest purchase)
- Whether any assets and/or interest are encumbered by loans or liens
- What tax implications will be and which party will be responsible for them
- Any pending or threatened litigation against the interest, assets, or business
- The financial information of the business (confirmed by a comprehensive review of income statements)
- Any unperformed obligations (including outstanding contracts with vendors)
- If any real property or equipment leases are in place.
I AM BUYING A BUSINESS – WHERE DO I START?
The starting point of any business acquisition is properly identifying WHAT you wish to purchase
Consider the example of buying a restaurant business. An aspiring restaurateur may only want to purchase the equipment and fixtures, creating the opportunity to start the business anew. Perhaps the buyer wishes instead to purchase the entity operating the restaurant entirely. If a property lease is in place, will you take on the obligations of the seller, or start a new lease with the property’s landlord?
What you wish to purchase will be dependent upon various factors, and should be identified with proper legal representation to best structure the deal. Once the purchase focal point is identified, the contract drafting begins, followed by adequate due diligence of the seller, assets and business, followed by a successful closing.
IDENTIFYING RISKS WHEN PURCHASING OR SELLING A BUSINESS IN OAKLAND COUNTY
How can the buyer confirm that no successor liability from the seller will attach to him or her? Does the buyer know that it is legally permitted to operate (by way of licensing and zoning)? Are assets encumbered by a loan or lien or prohibition from being transferred? A buyer needs confirmation that it is taking the assets free and clear of any liens, unless agreed to otherwise.
It is important to have proper documentation in place and excellent legal representation to ensure that no surprises arise in the purchase. In any business dealing, it is imperative to ensure that you are properly represented by business-minded attorneys. A simple mistake overlooked by an unrepresented party could cost hours of time and thousands of dollars, even more thousands of dollars wasted in potential litigation, and opportunity lost.
Oakland County
6th Circuit Court
- 35th District Court
- Northville
- 43rd District Court
- Northville
- 43rd District Court
- Hazel Park
- 43rd District Court
- Madison Heights
- 44th District Court
- Berkley Royal Oak
- 45th District Court
- Huntington Woods
- Oak Park
- Pleasant Ridge
- Royal Oak Township
- 46th District Court
- Beverly Hills
- Bingham Farms
- Franklin
- Lathrup Village
- Southfield
- Southfield Township
- 47th District Court
- Farmington
- Farmington Hills
- 48th District Court
- Birmingham
- Bloomfield Hills
- Bloomfield Township
- Keego Harbor
- Orchard Lake Village
- Sylvan Lake
- West Bloomfield Township
THE DIFFERENCE WITH B. KIZY LAW
At B. Kizy Law, our business attorneys specialize in Michigan and California business law, providing attentive and experienced representation with all business matters, including:
- Purchase and Sale Agreements;
- Property Purchase Due Diligence
- Loan Document Review (Retail, Institutional, SBA)
- Land Contracts
- Zoning Matters
- Lease Agreements
- Contract Disputes
- Title Insurance Claims
- Title (including Property Boundary) Disputes
- Evictions
- Property Tax Appeals.
The attorneys at the B. Kizy Law share the same goal with their clients – representation that creates value. Our business minded and experienced team of attorneys work to ensure the purchase or sale of your business is successful and fulfills your goal, while ensuring that you are fully protected with both a shield in front of you and a team behind you.
If you have any questions about any business matters in Oakland County, call B. Kizy Law today.
Practice Areas
CONTACT Brandon
for legal advice
© 2024 All Rights Reserved