Legal Forms for Selling a Small Business

Save

Selling a small business is a life-changing event; having the proper legal documents in place will make the entire process simpler and safer. The legal forms listed below can be drafted by a qualified business attorney or purchased online. Buying legal forms online can help save on costs, but consider consulting an attorney for custom advice relating to your business.

Bill of Sale

  • Like many legal documents, a bill of sale can be short and simple or lengthy and complicated -- but it is a binding legal document to be kept on file after the transaction is complete. Signed by both parties, a bill of sale lays out some specifics regarding the transaction. This document is critical to the transaction as it sets the selling price, any financing terms and any special arrangements made by the parties such as training or post sale support.

Covenants Not to Compete

  • When selling a business don't be surprised if the buyer asks for a signed covenant not to compete. Covenants not to compete are sometimes simply called non-compete agreements and they limit the ability of a given individual (such as the seller or the seller's key employees) to enter into a similar business within a certain time frame or geographic region. These documents vary from state to state in terms of both format and enforceability.

Buy-Sell Agreement

  • During the working years of a partnership the owners of the partnership should have a buy-sell agreement in place. A buy-sell agreement details how ownership interests in the company are transferred in the event that one owner dies, becomes disabled, retires or commits a felony. This agreement is often used to transfer a business from one generation to another within a family and should always be funded by insurance when possible.

References

Promoted By Zergnet

Comments

You May Also Like

  • Legal forms for Selling Timeshares

    Timeshares are appealing to many people because they offer flexibility for vacation enjoyment. But they are not like rental motels or cottages....

  • Legal Documents Needed to Start a Business

    The type of business being entered into determines what legal documents will be needed initially to open the doors. Some business ventures...

  • How to Sell a Business

    When selling your business is the best exit option, the more you prepare, the smoother the process and the more successful the...

  • How to Sell a Small Business

    When you sell your small business, you must consider several factors to sell all of its assets at fair market value, realize...

  • How to Sell a Sole Proprietor Business

    There are many reasons why a business owner would want to sell his sole proprietorship. Maybe the owner is having financial issues....

  • How to Sell Forms Online

    There are so many different types of forms that you can sell online to make people's lives easier. If you have a...

  • How to Sell an LLC Business

    Selling an LLC business is more of a process than an event. Regardless of how your business is structured--LLC, corporation, or partnership--the...

  • Legal Forms of Business

    People starting a business can choose from a wide range of legal structures. These different legal business forms provide different protections, incentives...

  • Forms for Selling a Car to Another Person

    Depending on the state you live in, different forms may be required to transfer vehicle ownership from one party to another. The...

  • Selling Your Small Business

    Selling a small business should happen only after goals are set and a professional broker or business accountant has been consulted. Learn...

Related Searches

M
Is DIY in your DNA? Become part of our maker community.
Submit Your Work!