While purchasing a business can mark an exciting time in the buyers' lives, it can also be intimidating. Even acquiring small businesses can lead to a host of unforeseen complications that not only make success an issue, but could result in the new owner being held liable for damages they did not create. That's why, before contracts are signed, it's essential that competent legal counsel is used to minimize any risk and liability.
At Mahir Nisar Attorney at Law., we have built our reputation on aggressive business litigation work. We're well-versed in the difficulties that can entangle new buyers and land them in court, making them vulnerable to crippling fees. That's why now, as part of purchaser representation, we offer comprehensive liability and risk management to clients ready to buy a business.
The most common liability business buyers are subject to is called successor liability. Successor liability holds new business owners responsible for actions that were made by the past seller while they were running the business. This kind of liability is dependent on a number of different factors, including how the business is paid for, existing tax circumstances, and compliance with New York's bulk sale laws. However, with proper, knowledgeable counsel this risks and liabilities can be avoided.
Certain actions can be taken to help minimize risk and instill confidence in the business in question and the transaction process.
Actions that could help minimize risk include:
Ensuring confidence and legality in the purchase of a business can involve a daunting investigation. This often makes it's easy for buyers to cut corners just to keep progress moving. At Mahir Nisar Attorney at Law., we don't believe in taking shortcuts while sacrificing security. We make sure that every foreseeable risk and liability is known, addressed, minimized, and, if possible, eliminated.
If you're purchasing a business and want your rights and interests protected against risk and liability, call our firm and speak with our experienced New York business lawyers. Schedule your case evaluation today!