Whilst negotiating the sale of a company, one of the first decisions to be made is whether to go down a share purchase or an asset purchase route. These distinctly different transactions each have various pros or cons for both seller and buyer, and may greatly affect the length and complexity of the sale.
The decision between share purchase agreement v asset purchase agreement will sometimes be affected by the sector and nature of the business - in some sectors asset purchases are more common, for example. Ultimately, however, it will depend on the positions and preferences of both buyer and seller. This article does not constitute legal advice, but lays out some of the key differences between the two approaches.
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Buying a property is an exciting step – albeit a stressful one. Whilst some people can afford to buy a property alone, it is common for more than one party to be involved. Whether you are buying with a friend, moving in with a partner or receiving financial support from your parents, adding multiple individuals to a purchase can make it a lot more complex.
This is especially true where there is not a clear 50/50 financial split between the parties. Perhaps one person has a larger initial sum to invest, or another will be contributing more to the monthly mortgage repayments.
In these cases, it is important to have legal clarity around just how much each person owns. A Declaration of Trust - also known as a Deed of Trust – can help to avoid uncertainty and prevent disputes further down the line.
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Debentures have become increasingly popular in recent years and are typically used as a means of securing debt. Investing in or lending to a business is never without risk, but debentures provide an element of protection for the investor/lender.
They can also be a useful tool to borrowers who would otherwise struggle to attract debt finance on reasonable commercial terms.
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The Legal Stop is a straightforward online business using information technology for the public good. We aim to make the law and provision of legal services accessible and transparent to people and businesses alike!
Gift-giving is a custom many individuals across various cultures and societies are familiar with. Whether at birthdays, Christmas, or sporadic moments throughout the calendar year, tangible and intangible items are transferred from one person to another without the expectation of payment in return. Although it is a joyous event, the custom can encounter contentious legal issues when disputes concerning gift ownership arise. To avoid this prospect, the creation of a Deed of Gift can provide clarity.
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The Legal Stop is a straightforward online business using information technology for the public good. We aim to make the law and provision of legal services accessible and transparent to people and businesses alike!
A Deed of Trust, also known as a Declaration of Trust, is a document used to specify how a property is held between joint owners; it confirms the actual proportions in which co-owners own their homes.
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The Legal Stop is a straightforward online business using information technology for the public good. We aim to make the law and provision of legal services accessible and transparent to people and businesses alike!