Are you considering the purchase of a business in South Australia?
The price, conditions and relevant terms will need to be agreed to proceed with the sale. You may require us to review the business sale agreement that has been provided to you in addition to other legal documents, such as a Vendor’s Statement also known as a Form 2 which may be required to be produced to you depending on the size of the business, to cater for the business sale. You may wish to engage us to assist in the negotiation of the terms of the purchase to ensure that all relevant issues are considered.
Buyers have the ability to engage in a due diligence assessment of a business. Generally, a due diligence assessment should be conducted regardless of the size of the business and even if you know the owner of the business on a personal basis.
It is for the buyer to ensure that it is a condition of the business sale that a due diligence assessment is conducted. This is because a due diligence assessment is not a standard condition in a sale of business agreement.
Due diligence assessments are conducted not only to ensure that the buyer is fully informed in relation to the financial position of the business but to also consider a variety of issues including, for instance, whether:
- Any disputes or litigation have already arisen or are likely to arise;
- Any significant lease is secure for the future;
- Any significant employment contract is in place and secure;
- Any significant trading agreement is in place and secure;
- Any intellectual property is appropriately protected.
Contact Us
As the purchaser, we can assist and provide you with advice in relation to the business sale agreement and Form 2. We can also assist you with the important due diligence assessment.
Should you require any assistance or advice in relation to the purchase of a business call us on 8523 8400 (Gawler) or 8211 6500 (Adelaide) to arrange an appointment for an initial no obligation consultation. Alternatively, send an email to legal@rudalls.com.au and we will contact you.