Checklist for buying a Business

It is important that you seek appropriate legal and financial advice prior to signing any documentation.

The business seller should be prepared to provide you with sufficient information to enable you to conduct the necessary due diligence in respect of the business.

 

A few things to think about -

You will need to obtain a list of the intellectual property relating to the business. This includes brand names, logos, trademarks etc. Will these be transferred to the new owner?

Will the website and any social media, (ie facebook, twitter etc)  be transferred to the new owner?

Do a search of the business name and organise for transfer of the name upon settlement.

Obtain a list of assets being sold with the business and check insurance prior to settlement.

Obtain a copy of the lease if the business premises are rented.

Check that any permits and licences relating to the business are transferable.

Check the condition and quantity of the current stock.

Does the contract include a restraint of trade clause?

If the purchase is subject to finance, this should be noted on the contract of sale.

 

These are just a few of the things that you need to consider when buying a business.

Please contact our experienced Sales Team to discuss in more detail.