At some point in the lifecycle of a business the option to sell the business or its assets may arise for a variety of reasons. On the other side of that opportunity lies a prospective and motivated buyer interested in obtaining the assets or business itself of the established and going concern. There are a number of factors that impact the decisions on both sides of the potential transaction, but they ordinarily start with some investigation of the opportunity by the buyer, which may or may not need to be guarded by the seller through documents such as non-disclosure agreements.
Once the parties assess the opportunity and are in a position to frame out the terms of the purchase and sale, then they are ready to document those terms so that everyone involved knows exactly how things will turn out and knows the obligations and responsibilities of all the parties. Structuring purchase and sales of businesses in this manner is naturally done to avoid disputes later that can divert attention from running and growing the business or can drain the monies obtained from the purchase.
For several years, David Steinfeld has edited the Chapter on purchase and sale of businesses in Florida for the Florida Bar in its Small Business Handbook. This is a volume that is used by lawyers throughout the State in understanding how to structure such transactions and even provides sample documents for them to use. Thus, in a manner of speaking, you can say that Board Certified expert business lawyer David Steinfeld literally wrote the book in Florida on how to structure contracts for the purchase and sale of businesses.