Documenting a business transaction is part of due diligence, regardless of what kind of transaction it is. Big or small, any business deal must be properly recorded to make sure you cover all your bases. However, mistakes can still happen. Perhaps lack of training,...
Business Transactions
Demystifying indemnification clauses in purchase agreements
An indemnification clause is a part of a contract where the seller agrees to pay for certain losses or damages that the buyer might experience after they close on the sale of a business. It's a type of insurance that guarantees the buyer won't be responsible for...
What is a “Fictitious Name” or a D/B/A?
Many of the most popular businesses, whether locally or throughout the country, operate under a “dba” or a “fictitious name.” While the concept may sound confusing at first, it is actually very simple. DBA is short for “Doing Business As” and is synonymous with a...
When partnership agreements go wrong
When two or more companies have similar goals and objectives, rather than competing with one another, they can combine forces and achieve those goals together. In business, this is referred to as a partnership agreement. Partnership agreements can be beneficial as...
Potential benefits of a business merger
The corporate world is notoriously competitive and business owners have to work hard to gain an advantage. Few markets are untapped, which means there is a constant battle with rivals. Nonetheless, companies do not always have to be adversaries. Rather, they can...
The problem with broker-generated Asset Purchase Agreements
When purchasing a company, there are several options that you can take. You may opt to deal directly with the seller and complete the transaction that way. However, in many cases, business purchases are overseen by brokers. Brokers can be convenient as they deal with...
Lease agreement considerations for your commercial property
Investing in commercial real estate can be profitable, especially when you manage to rent it out to good tenants. However, there are numerous factors to consider when doing this, and you’ll want to draw up watertight commercial lease agreements before moving forward,...
How can a lawyer help me with due diligence for a business purchase?
There is no way to eliminate all risks in business transactions, especially when purchasing, but conducting due diligence can at least reduce the level of risk. There are certain preparatory steps that you can take on your own, but it’s always advisable to have legal...
Due diligence tips for first-time business buyers
Deciding to purchase your first business is a significant step that can be exciting and rewarding. With that being said, it’s also a challenge. You need to take steps to ensure that your investment is as safe as possible and legally watertight. In other words, it’s...
What are the pros and cons of a business merger?
Maintaining a corporate advantage over competitors isn’t easy. There are numerous options that your company can take, with one of them being a merger. Essentially, a merger involves two companies joining together to operate as a single entity. This strategy has...