Business Acquisitions & Sales
The purchase of a new business or the sale of an existing business will revolve around the contract for sale of the business. It is vital that the contract for sale reflects the intentions of the parties and sets out exactly what each party is required to do to give effect to the sale.
If you are a purchaser or a vendor our Business Team can handle all the necessary pre-contract negotiations and an investigation, as well as drafting the contract of sale making sure that the contract protects your interests.
Prior to entering into a contract for sale of a business it is important to undertake an evaluation of the business to ensure that the current values of the assets reflect the sale price, the profits are adequate for the type of business being purchased and the financial records of the business are in order and up-to-date.
Our Business Team will assist you in drafting the contract for sale. We will assist you in ensuring that the contract of sale correctly reflects the agreement reached and we will guide you through matters, such as:
- Due diligence.
- Whether the business is sold on a walk-in walkout-basis or sold with stock in trade or work in progress.
- The apportionment of the purchase price between the goodwill of the business and the fixtures, fittings and chattels of the business.
- The leasing requirements of the business.
- Any restriction of trade on the vendor's ability to open a similar business in the future.
- Any period for which the vendor is required to assist you in the operation of the business.
At Quinn & Scattini we will explain the standard conditions contained in the contract for sale and the rights, duties and responsibilities these place on both parties. Our Business Team will also ensure that you understand the statements and warranties contained in the contract for sale and the manner in which employee entitlements such as wages, holiday pay and long service pay are proportioned on the sale of a business.