A business broker is a person or firm engaged in the business of enabling other businesses to get sold.
Business brokers typically value the business, advertise it for sale, handle the initial discussions with prospective buyers and assist the owner of the business in selling it. They are paid either a fixed fee or a percentage of the sale price. Buyers sometimes retain a business broker to find them a particular kind of business.
In the United States, licensing of business brokers varies by state, with some states requiring licenses, some not. Some states require licenses if the broker is commissioned but not if the broker works on an hourly fee basis. State rules also vary about recognizing licensees across state lines, especially for interstate types of businesses like national franchises. Some states require either a broker license or law license to even advise a business owner on issues of sale, terms of sale, or introduction of a buyer to a seller for a fee.
This form is a general Non-Disclosure and Commission Agreement Between a Business Broker and a Prospective Buyer.
Middlesex Massachusetts Nondisclosure and Commission Agreement Between Business Broker and Prospective Buyer is a legal document that establishes the terms and conditions regarding the confidentiality of sensitive information and the commission payable to the business broker in the Middlesex County, Massachusetts area. This agreement is highly relevant for individuals or entities seeking to buy or sell a business through a professional broker in this specific region. The Middlesex Massachusetts Nondisclosure and Commission Agreement serves as a legally binding contract between the business broker and the prospective buyer. It safeguards the interests of all parties involved by addressing critical aspects such as confidentiality, non-disclosure, and the payment of commission fees. In terms of its structure, the Middlesex Massachusetts Nondisclosure and Commission Agreement typically consists of the following sections: 1. Introduction: This segment provides a brief overview of the purpose of the agreement, stating the parties involved and the businesses being considered for sale. 2. Definitions: This section includes specific definitions of key terms used throughout the document to ensure clarity and common understanding. 3. Confidentiality Obligations: This part outlines the non-disclosure and confidentiality requirements for the prospective buyer. It highlights that all information provided by the business seller or broker should be treated as confidential and prohibits the sharing of such information with third parties without prior written consent. 4. Ownership of Information: This section clarifies that all proprietary and financial information shared by the business seller or broker remains their exclusive property. It stresses that the prospective buyer will not assert any rights over this information. 5. Use of Information: This segment specifies that all information shared should only be used for the purpose of assessing the business for potential acquisition. It prohibits the potential buyer from using the information for competing or damaging purposes. 6. Non-Circumvention Clause: This clause aims to prevent the potential buyer from bypassing the business broker and directly contacting the business seller or disclosing confidential information to other third-party brokers. 7. Commission Agreement: This part establishes the terms and conditions for the payment of commission to the business broker in the event of a successful transaction. It includes provisions regarding the percentage of commission, the payment schedule, and any additional expenses that may be applicable. 8. Term and Termination: This section outlines the duration of the agreement and the circumstances under which either party can terminate the agreement. 9. Governing Law and Jurisdiction: This segment states the applicable laws and jurisdiction in Middlesex County, Massachusetts, in case of any disputes or legal issues arising from the agreement. It's important to note that while the structure and content of the Middlesex Massachusetts Nondisclosure and Commission Agreement remain similar across different cases, the specific terms and conditions may vary depending on the business broker, prospective buyer, and the nature of the business being negotiated.Middlesex Massachusetts Nondisclosure and Commission Agreement Between Business Broker and Prospective Buyer is a legal document that establishes the terms and conditions regarding the confidentiality of sensitive information and the commission payable to the business broker in the Middlesex County, Massachusetts area. This agreement is highly relevant for individuals or entities seeking to buy or sell a business through a professional broker in this specific region. The Middlesex Massachusetts Nondisclosure and Commission Agreement serves as a legally binding contract between the business broker and the prospective buyer. It safeguards the interests of all parties involved by addressing critical aspects such as confidentiality, non-disclosure, and the payment of commission fees. In terms of its structure, the Middlesex Massachusetts Nondisclosure and Commission Agreement typically consists of the following sections: 1. Introduction: This segment provides a brief overview of the purpose of the agreement, stating the parties involved and the businesses being considered for sale. 2. Definitions: This section includes specific definitions of key terms used throughout the document to ensure clarity and common understanding. 3. Confidentiality Obligations: This part outlines the non-disclosure and confidentiality requirements for the prospective buyer. It highlights that all information provided by the business seller or broker should be treated as confidential and prohibits the sharing of such information with third parties without prior written consent. 4. Ownership of Information: This section clarifies that all proprietary and financial information shared by the business seller or broker remains their exclusive property. It stresses that the prospective buyer will not assert any rights over this information. 5. Use of Information: This segment specifies that all information shared should only be used for the purpose of assessing the business for potential acquisition. It prohibits the potential buyer from using the information for competing or damaging purposes. 6. Non-Circumvention Clause: This clause aims to prevent the potential buyer from bypassing the business broker and directly contacting the business seller or disclosing confidential information to other third-party brokers. 7. Commission Agreement: This part establishes the terms and conditions for the payment of commission to the business broker in the event of a successful transaction. It includes provisions regarding the percentage of commission, the payment schedule, and any additional expenses that may be applicable. 8. Term and Termination: This section outlines the duration of the agreement and the circumstances under which either party can terminate the agreement. 9. Governing Law and Jurisdiction: This segment states the applicable laws and jurisdiction in Middlesex County, Massachusetts, in case of any disputes or legal issues arising from the agreement. It's important to note that while the structure and content of the Middlesex Massachusetts Nondisclosure and Commission Agreement remain similar across different cases, the specific terms and conditions may vary depending on the business broker, prospective buyer, and the nature of the business being negotiated.
