The process of signing an agreement for the purchase or sale of business is similar to signing a residential property agreement.
What does a business agreement cover?
A business agreement for sale or purchase should contain details of exactly what is being bought or sold. The agreement may cover the business only, or may also include the freehold or leasehold of the premises that the business currently operates from. Details of the agreement may include:
- the legal description of the business premises’ title
- Details of the business premises’ lease
- The purchase price including G.S.T (Goods and Services Tax)
- When the funds are to be paid
- Any special conditions that either party may have
- Details of any stock, chattels or goodwill included in the purchase
Do you need a company?
The Property Law Service together with your accountant can assist you with the formation of a desirable ownership structure such as company or partnership.Check this out before signing the agreement.
Once the agreement is signed
Your agreement for sale or purchase is binding once you’ve signed it and should be checked by your solicitor and, generally your accountant also, before you sign it.
Your solicitor should check the details of any associated title or lease agreement and discuss the meaning of these with you. Related documents may also need to be reviewed or prepared before the contract is completed.
How can Property Law Service help?
To have your business sale or purchase agreement checked before signing or to get advice on the legal process of signing an agreement, please contact us for business conveyancing advice or speak to one of our property law specialists on 0800 PPTYLAW (0800 778 952) or +64 6 3705102.