Overeenkomst van aankoop en verkoop van bedrijfsactiva
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How to make a Business Assets Purchase and Sales Agreement? How is the agreement between a buyer and a seller formed? Our template will help you create an agreement that outlines the terms of the sale, including the purchase price, the transfer of ownership, and any contingencies. Download this Agreement of Purchase and Sales of Business Assets now!
An "Agreement of Purchase and Sale of Business Assets" is a legally binding contract that outlines the terms and conditions governing the sale of specific assets of a business from a seller to a buyer. This type of agreement is used when a buyer wishes to acquire certain assets of an existing business rather than purchasing the entire business, including its liabilities.
Here are the key elements typically found in an Agreement of Purchase and Sale of Business Assets:
- Identification of Parties: The agreement begins by identifying the buyer and the seller, including their legal names and contact information.
- Asset Description: A detailed description of the assets being sold is provided. This may include tangible assets (e.g., real estate, equipment, inventory) and intangible assets (e.g., customer lists, patents, trademarks).
- Purchase Price: The agreement specifies the total purchase price for the assets. It may also outline how and when the payment will be made, whether it's a lump sum or paid in installments.
- Assets Included/Excluded: It clearly defines which assets are included in the sale and any assets that are excluded. Common exclusions might include cash, accounts receivable, or certain liabilities.
- Representations and Warranties: Both parties may make representations and warranties about the condition and ownership of the assets being sold. These are statements of fact and assurances about the accuracy of information.
- Covenants: This section outlines the responsibilities and obligations of both the buyer and the seller leading up to and after the closing of the transaction. For example, it may specify the seller's obligation to maintain the assets in good condition until the closing date.
- Closing and Transfer of Assets: Details about when and where the closing of the transaction will occur and how the assets will be transferred from the seller to the buyer.
- Due Diligence: Provisions related to the buyer's right to conduct due diligence on the assets and financial records of the business before the sale is finalized.
- Liabilities: If applicable, any liabilities assumed by the buyer as part of the transaction are outlined.
- Indemnification: The agreement may include provisions for indemnification, where one party agrees to compensate the other for losses or damages resulting from certain specified events.
- Confidentiality: Provisions regarding the confidentiality of sensitive business information are often included to protect the seller's trade secrets and proprietary data.
- Governing Law and Dispute Resolution: The choice of law that will govern the agreement and the process for resolving disputes between the parties.
An Agreement of Purchase and Sale of Business Assets is crucial in business transactions as it serves as the foundation for the deal and helps avoid misunderstandings or disputes by clearly outlining the rights and responsibilities of both parties.
Download this professional legal Agreement of Purchase and Sales of Business Assets template if you find yourself in this situation and save yourself time, and effort and probably reduce some of the lawyer fees! Using our legal templates will help you reach the next level of success in your education, work, and business! However, we still recommend you to consider consulting a local law firm in case of doubt to support you in this matter.
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