A buy/sell agreement is a legally binding agreement between co-owners of a business that sets out what will happen if a co-owner was to pass away or is otherwise forces to leave the business or chooses to leave the business.
The agreement ensures a smooth transition between businesses owners should something unexpected happen to either party. Specific events which may trigger a buy/sell agreement include death, divorce, long-term disability, retirement or bankruptcy. As we never know what lies around the corner, most business partners should consider putting a buy/sell agreement in place.
There are a number of factors that must be considered when writing a buy/sell agreement. A business or tax lawyer experienced in buy/sell agreements can help you choose the right type of agreement and prepare an agreement to ensure all issues are covered and documented properly so they can be relied upon in the future. We can connect you to experienced lawyers who can help you with a buy/sell agreement.