Business Contracts
Asset Purchase Agreement
New York
What should be included in an asset purchase agreement?
I am considering buying a chain of laundry mats and have been told I would need an asset purchase agreement for the legal paperwork involved. I don't believe I want to buy the business, but am not sure. I think I would just want to buy their machines and take over their leases. If this was the case, what would I need to have in an agreement?
2 Attorney answers
Answer
Business Contracts
New York
Donya G.
ContractsCounsel verified
Yes, even though you dont intent to buy the entire business but only the machines and take over the leases (which may be allowed under their current lease or your would have to go directly to the landlord if it is not) you would still need an agreement that lays out what you are buying, the cost, what happens if you have a dispute and all the necessary things to protect your rights. I am a NY attorney that specializes in the purchase and sale of business and assets and can assist you with this. You can connect with me through the website at Donya Gordon. Donya Gordon
Answer
Corporate
New York
Michael S.
ContractsCounsel verified
As the buyer, your preference is always to by the assets rather than the existing business entity. That way, you will have greater protection against liabilities of the business that arose before your purchase. You can also structure the deal so that you're buying only those assets you're interested in, and can carve out those assets you don't want to buy. You do want an attorney assisting you, as there are pitfalls in the process, and you want to be protected. Thanks.