When your business is going through a transition, you need the expertise of a business lawyer. You may be tempted to handle it through your executive team, but these major business changes are complicated and come with potential legal liabilities. A lawyer specializing in Riverside business law knows how to cover all the potential pitfalls so that your transition can go forward smoothly.
Sale to a Third Party
Selling to a third party is a common transition that comes with many legal needs. For instance, you need a lawyer to draft a non-disclosure agreement in case the deal falls through. Otherwise, the other parties can share sensitive business information that can harm your business and prevent a successful sale.
An experienced business attorney will also understand all the tax implications of the sale and take steps to minimize your exposure. And they will also draft a letter of intent that lays out the terms of your negotiation and sets the stage for each side’s final research and the purchase agreement.
A management buyout, where the management team acquires the assets and operations of the business, comes with a variety of legal issues. These buyouts streamline a company’s operations to improve its financial health.
The buyers pool their resources to buy the company, which means a complex mix of personal resources, seller-financing, and private equity financiers. You need an experienced business lawyer to protect the seller’s interest, oversee compliance issues and clarify the new owners’ stake in the company.
Passing the business along to the next generation sounds like a positive and simple transition. But many family successions fail, largely because the succession plan was flawed.
Even though you are dealing with family members, you need help from an experienced business attorney. Research shows that family succession involves a high level of conflict, in part because of communication difficulties and trust issues.
A business lawyer can remove much of the emotion from this transition and craft a plan that works for the business and the involved family members.
How Mellor’s Riverside Business Law Can Help
If you need an excellent Riverside business lawyer, turn to the Mellor Law Firm. We offer help with business organization as well as a long list of business transactions. If your business is planning a transition, contact us now and not after you’ve begun the process.
We understand the complexities of these business changes and can protect you and the business from unnecessary problems. For more information, contact us today by filling out a short online form or by calling 951-221-4705.