Asset Purchase Agreement With Earn Out Provision In King

Category:

Small Business - Business Sale

State:

Multi-State

County:

King

Control #:

US-00418

Format:

Instant download

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Description

This form is an Asset Purchase Agreement. The buyer agrees to purchase from the seller certain assets which are listed in the agreement. The form also provides a listing of certain assets which will be excluded from the sale. The form must be signed in the presence of a notary public.

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Earnout provisions are contractual clauses within a purchase agreement that secure additional compensation to the seller after close. An earnout provision makes the purchase price (typically, some part of it) payable in the future dependent on the buyer's financial performance."Earn-Out Payments" means the Earn-Out Initial Payment and the Earn-Out Monthly Payments. An earnout allows the buyer to pay a higher potential reward to the seller while simultaneously reducing the buyer's risk. An asset purchase agreement (APA) is a legally binding agreement used when a company wishes to buy or sell specific assets of another business. 2. Situations when an earnout might be appropriate. 3.

Asset Purchase Agreement With Earn Out Provision In King

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