Kansas Agreement for Sale of Business by Sole Proprietorship with Leased Premises

State:
Multi-State
Control #:
US-02022BG
Format:
Word
Instant download

Description

This form involves the sale of a small business where the real estate on which the Business is located is leased from a third party. This form assumes that the Seller has received the right to assign the lease from the lessor/owner.

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FAQ

Under asset sale agreements, the seller hands over business equipment, inventory, trademarks and patents, trade names, "goodwill," and other assets for an agreed-upon price. The seller then uses the money to pay off any debts; the remainder is his or her profit.

A business bill of sale is used to execute a sale and transfer of a business. It details the terms of the transaction at the time of sale and makes official the new ownership of the business. A purchase or sale agreement is used to negotiate future sales or purchases.

Sole proprietors don't need operating agreements, but partnerships may choose to create one. Although they are not legally mandatory, Entrepreneur.com recommends partners create an agreement, because it will define the legal and personal operating rules. Without it many rules default to state mandates.

Define how the buyer will pay for the sale, how many payment installments are involved, when they'll transfer the funds, and any other financial details. Also, include any possible brokers and a clause about how you'll resolve payment disputes.

A business deal refers to a mutual agreement or communication between two or more parties who want to do business. The deal is usually carried out between a seller and a buyer to exchange items of value such as goods, services, information, and money.

Provisions of an APA may include payment of purchase price, monthly installments, liens and encumbrances on the assets, condition precedent for the closing, etc. An APA differs from a stock purchase agreement (SPA) under which company shares, title to assets, and title to liabilities are also sold.

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Kansas Agreement for Sale of Business by Sole Proprietorship with Leased Premises