If you’re planning to sell your business, you may be wondering if you’ve correctly interpreted all of the things you need to do. After all, it can be a long and complicated process, and you definitely want to make sure you’re not skipping any steps.
Here are some of the top things you need to know to make sure #TheFinalTransfer goes smoothly:
Find a good solicitor
As soon as you’ve found a buyer, it’s time to hand over most of the work to the solicitors. The buyer’s solicitor will be investigating your company’s legal title, and as soon as this is done, your solicitor will prepare the Contract for Sale.
Provide details
You’ll also need to complete the Commercial Property Standard Enquiries forms, which your buyer will send you. These are so your buyer will understand everything they need to know about your property. It’s important to be as detailed as you can here so nothing is delayed.
Next, you’ll give them any information they need about the fixtures and fittings in your business, including an Energy Performance Certificate. Be prepared for more questions from their solicitor which may come up once they’ve read all of the documentation you send through.
Exchange contracts
Once the buyer’s solicitor is happy with these documents, it’s time for you both to exchange contracts. This is also when your buyer will pay the deposit and the contract is officially legally binding. As soon as your solicitor is happy with the buyer’s Transfer Deed, and any mortgages have been arranged to be discharged, it’s time for it to be completed. Your buyer will then pay you the outstanding balance, and you’ll give the keys to your business to them.
Buying at the same time?
If you’re buying a business at the same time that you’re selling your business, you’ll also need your solicitor to help. They’ll investigate the title to this business for you, and you’ll also read the CPSE forms. Once this is done, they’ll raise any questions with the seller’s solicitor.
Once these have been answered, and you’re happy with those answers, you’ll get a report letter and all the other documents like the mortgage deed, contract, and Stamp Duty form. As soon as you send the other party the deposit and paperwork, you’ll get the Transfer Deed and will pay the remaining balance.
Buying and selling a business can be stressful, and it’s important to get trustworthy legal advice. If you’re in need of professional advice, get in touch with the thelawhouse.com.
