Best Probate Attorneys in Saint Paul, MN

New post: Selling or Purchasing a Business? Here are some things to consider. - Selling your business or buying a new business can be a complicated, arduous process, but it doesn’t have to be. There are three basic types of legal processes the sale of a business can take – a _STOCK SALE_, an _ASSET SALE_, or a _MERGER_. For small, privately held businesses, the first two are the most prominent, although a merger (or reorganization) may be the right choice under some circumstances, especially given its qualification as a tax free transaction. A _STOCK SALE_ is exactly what it sounds like – the seller sells his or her stock in that business to another person(s) or to another corporation. In an _ASSET SALE_, the business itself sells all of its assets (cash accounts, inventory, accounts receivable, contract rights, licenses, customer lists, real property, motor vehicles, furniture, equipment, franchise rights, intellectual property, etc.) to the seller, which is usually a newly formed entity created to purchase the assets. A _MERGER_ is the combining of two different companies into a single company. There are different types of mergers to choose from. All of these have different outcomes as it concerns the liability of the parties to the sale. The choice of how to structure the sale of the business also has differing tax implications for both the seller and the buyer. Some of these implications depend upon whether or not the existing business is encumbered by secured debt...