As such, when a long-time business client approached our Business & Tax Department about an offer he received for selling not one, but two, of his businesses, we put forth a plan that would close both sales in a quick and cost-efficient manner. We began by identifying the most tax efficient structure from a seller’s prospective, and we advised our client to recommend this structure to his buyers – which was agreed to. Thereafter, our client, having informed us that he was satisfied with the purchase price that the buyer had presented him with, instructed us to negotiate the terms of the purchase. As part of the negotiations, and due to the nature of both businesses, lump sum cash payments for the full purchase prices were impractical. Indeed, the parties had agreed that the purchase prices would be paid out in installments, with initial down payments. Accordingly, the next part of our plan was to negotiate the inclusion of sufficient collateral to secure the promissory notes.
Thereafter, we drafted the requisite closing documents, including the purchase agreement. Since our client desired to close the sales as quickly as possible (he was anxious to begin his retirement), he was flexible with some of the terms of the agreement and we were able to wrap up the sale according to our client’s wishes.
Our Business & Tax Department continues to assist both buyers and sellers to purchase and sell businesses. We provide professional and expert advice in an effort to protect our clients from unnecessary exposure and risk, and we strive to do so in a cost-efficient manner. We understand the emotions and frustrations that may come along with buying or selling a business, and we make every effort to take this into consideration when we represent our clients that are engaging in such transactions.
DISCLAIMER: THE CASES AND RESULTS DESCRIBED HEREIN ARE REPRESENTATIVE OF PAST RESULTS OBTAINED BY MILLER, MILLER & CANBY, AND ITS ATTORNEYS. PAST CASE RESULTS DO NOT GUARANTEE FUTURE RESULTS. ALL CASES ARE DISTINCT AND HAVE UNIQUE FACTS, CIRCUMSTANCES AND LEGAL QUESTIONS THAT MUST BE CONSIDERED AND EVALUATED ON THEIR OWN MERIT.