Once you have decided to start a business, you will be confronted with two business models to choose from. One involves starting a new business, and the other includes taking up an existing business which may or may not be a franchise business.
Even though, you may take up any one of the two business models outlined, doing due diligence and company research can help in saving a lot of unpleasant surprises at the time of closing. You may end up spending more time or money than is warranted, if the due diligence is not done on time.
It is advisable to get in touch with a good Real Estate Lawyer who is well-versed with the purchase of a business in leased premises.
Once you have decided to purchase a business, your Real Estate Lawyer will provide the below services:
- Analyze the agreement of sale and purchase in detail
- Review statutory liens and search for any outstanding amounts under business, corporation and other taxes
- Analyze the bills of sale
- Draft and prepare any personal property security agreement as needed
- Search the applicable legislations like the Bankruptcy Act, Bank Act, Bill of Sale Act, Corporation Securities Registration Act, Personal Property Security Act, and other relevant legislation.
- Search for all executions and litigations as needed