Welcome toJohn H. Evans P.A.

Sale of Businesses

Looking to sell your business? Are you considering a merger, acquisition or a combination?  A merger happens when the business for sale merges with the buying business. Combinations are where two or more business combine to create a new organization. When the business for sale is a smaller corporation's assets and stock are bought by a larger corporation an acquisition is in place.

An acquisition is not a sale of one asset, rather all the assets of the business are sold. Each asset is treated as being sold separately for determining gain or loss on an individual basis. The IRS requires the assets to be categorized in four main categories:

  • Capital Assets
  • Depreciable Property
  • Real Property
  • Property held for sale to customers (inventory, stock in trade)

We can help you sort through your many business assets to ensure the best possible profit on the sale of your business. This is done through the draft and review of purchase and sales agreements as well as business contracts. The purchase and sales contract will protect both the buyer and seller of the transaction decreasing chances of future litigation. Once the business sale is final there are many other revisions to address. This may involve renegotiating employee contracts, provisions in sales contracts, noncompeting agreements and no solicitation agreements to protect your new business.

Mergers and acquisitions may result in a transaction that does not involve a sale. Consult our office to find out about assistance in exchange of stock or other assets concerning shareholders as well as the creation of a new business entity after the merger or acquisition is final.