Los Angeles California Acuerdo de compra venta o compra de acciones que cubre acciones ordinarias en una corporación cerrada con opción de financiar la compra a través de un seguro de vida - Buy Sell or Stock Purchase Agreement Covering Common Stock in Closely Held Corporation with Option to Fund Purchase through Life Insurance

• Category: Compra Venta - Compra de Acciones - Sociedades Anónimas
• State: Multi-State
• County: Los Angeles
• Control #: US-00455BG
• Format: Word

Description

This form is set up as a Buy Sell Agreement between the Corporation and a key shareholder. It applies in the case of the death, disability, retirement or offer of shareholder to sell the stock during his lifetime. Los Angeles, California is a vibrant and diverse city situated on the west coast of the United States. Known for its beautiful weather, iconic landmarks, and bustling entertainment industry, Los Angeles offers a wealth of opportunities for business and investment. In this article, we will explore the various types of Buy Sell or Stock Purchase Agreements covering Common Stock in a Closely Held Corporation with the added option to fund the purchase through Life Insurance. 1. Traditional Los Angeles California Buy Sell Agreement: A traditional Buy Sell Agreement is a legally binding contract between shareholders in a closely held corporation. It outlines the terms and conditions for the purchase or sale of common stock in the company. The agreement can specify the circumstances triggering a buyout, such as death, disability, retirement, or an offer from a third party. Options to fund the purchase through life insurance can be included to provide financial security for both parties involved. 2. Cross-Purchase Los Angeles California Stock Purchase Agreement: In a cross-purchase agreement, individual shareholders in a closely held corporation have the right, but not the obligation, to purchase each other's shares upon predetermined events like death or disability. The life insurance policy can be taken out by each shareholder on the life of the others, with the proceeds used to fund the stock purchase. This type of agreement is particularly useful when there are multiple shareholders involved. 3. Entity Purchase Los Angeles California Stock Purchase Agreement: An entity purchase agreement, also known as a stock redemption agreement, involves the corporation itself buying the shares of a deceased or disabled shareholder. In this type of agreement, the corporation takes out life insurance policies on the lives of individual shareholders, with the corporation as the beneficiary. The proceeds from the policy are then used to buy out the deceased or disabled shareholder's stock. 4. Wait-and-See Los Angeles California Stock Purchase Agreement: A Wait-and-See agreement provides flexibility in determining the method of stock purchase at a later time. It allows the remaining shareholders, or the corporation itself, to choose between executing a cross-purchase or entity purchase agreement after the triggering event occurs. Life insurance can be utilized to fund either option once the decision is made. In conclusion, Los Angeles, California, offers several types of Buy Sell or Stock Purchase Agreements covering Common Stock in a Closely Held Corporation with the option to fund the purchase through Life Insurance. Traditional agreements, cross-purchase agreements, entity purchase agreements, and wait-and-see agreements provide various approaches to meet the specific needs and circumstances of shareholders and the corporation. Seek legal advice to determine the most appropriate agreement based on your individual circumstances.

Los Angeles, California is a vibrant and diverse city situated on the west coast of the United States. Known for its beautiful weather, iconic landmarks, and bustling entertainment industry, Los Angeles offers a wealth of opportunities for business and investment. In this article, we will explore the various types of Buy Sell or Stock Purchase Agreements covering Common Stock in a Closely Held Corporation with the added option to fund the purchase through Life Insurance. 1. Traditional Los Angeles California Buy Sell Agreement: A traditional Buy Sell Agreement is a legally binding contract between shareholders in a closely held corporation. It outlines the terms and conditions for the purchase or sale of common stock in the company. The agreement can specify the circumstances triggering a buyout, such as death, disability, retirement, or an offer from a third party. Options to fund the purchase through life insurance can be included to provide financial security for both parties involved. 2. Cross-Purchase Los Angeles California Stock Purchase Agreement: In a cross-purchase agreement, individual shareholders in a closely held corporation have the right, but not the obligation, to purchase each other's shares upon predetermined events like death or disability. The life insurance policy can be taken out by each shareholder on the life of the others, with the proceeds used to fund the stock purchase. This type of agreement is particularly useful when there are multiple shareholders involved. 3. Entity Purchase Los Angeles California Stock Purchase Agreement: An entity purchase agreement, also known as a stock redemption agreement, involves the corporation itself buying the shares of a deceased or disabled shareholder. In this type of agreement, the corporation takes out life insurance policies on the lives of individual shareholders, with the corporation as the beneficiary. The proceeds from the policy are then used to buy out the deceased or disabled shareholder's stock. 4. Wait-and-See Los Angeles California Stock Purchase Agreement: A Wait-and-See agreement provides flexibility in determining the method of stock purchase at a later time. It allows the remaining shareholders, or the corporation itself, to choose between executing a cross-purchase or entity purchase agreement after the triggering event occurs. Life insurance can be utilized to fund either option once the decision is made. In conclusion, Los Angeles, California, offers several types of Buy Sell or Stock Purchase Agreements covering Common Stock in a Closely Held Corporation with the option to fund the purchase through Life Insurance. Traditional agreements, cross-purchase agreements, entity purchase agreements, and wait-and-see agreements provide various approaches to meet the specific needs and circumstances of shareholders and the corporation. Seek legal advice to determine the most appropriate agreement based on your individual circumstances.

Para su conveniencia, debajo del texto en español le brindamos la versión completa de este formulario en inglés. For your convenience, the complete English version of this form is attached below the Spanish version.