When purchasing an existing buisness, the buyer needs to understand that the purchase agreement is not just full of boiler plate language that you can adopt from an acquisition agreement you find on the Internet. Instead, the purchase agreement needs to be tailored to the deal, and significantly, address any issues discovered during the due diligence. This Article addresses several key provisions that should be included in the Stock Purchase Agreement/Asset Purchase Agreement to ensure the buyer not only purchases the business, but is protected from any unwanted liabilities and risks and has a transactional agreement that clearly defines any obligations the Seller(s) may have to the Buyer following closing of the transaction.
Read the Article at:
Buying a Business: The Purchase Agreement