Whether you are buying or selling a business, an initial consideration will obviously involve the way in which this business is transferred to new ownership.

This can be done either through an asset or share sale – deciding on the deal structure is an important decision which must be weighed up carefully by all parties. The buyer can choose to:

• buy certain assets and rights which make up the business (asset purchase);
• or, acquire share ownership of the trades and assets of a company so it can run on a ‘business as usual’ basis. This includes all assets, liabilities and obligations of the business (share purchase).

The process of structuring this kind of corporate transaction can be a legal minefield and with various advantages and disadvantages of both approaches, professional input can be key before making any decisions or starting negotiations.

Failing to choose the right deal at the outset can potentially end in delay, increased cost or in a worst case scenario, endangering the closing of the deal itself. 

Through our preferred partner network, we can put you in touch with industry experts that can offer tailored advice on structuring a sale or acquisition of a business that’s specific to your circumstances. Our partners work directly with buyers and sellers, discussing the pros, cons & associated risks with different deal structures. 

As no two transactions are the same, an off-the-shelf approach isn’t always suitable when deciding on a deal structure, so early legal advice can be vital. If you’d like to find out how our partners can help, please contact us and we’ll be in touch.