How A Buy-Sell Agreement Protects You
You are in the throes of excitement for your new business. The reality, however, is that nothing lasts forever and change will occur for you and your partners.
One of the most effective ways to prepare for the future — and to protect your long-term interests — is a buy-sell agreement between you and your partners. Buy-sell agreements, which are sometimes called buyout agreements, give partners an exit strategy that each of you knows and understands.
Not For Buying And Selling
Although called “buy-sell agreements,” they do not have much to do with the actual buying and selling of businesses.
Buy-sell agreements are contracts that give direction and instruction for dealing with future events. These can include:
- Death of a partner
- Disability of a partner
- The bankruptcy of a partner
- The desire for change in employment
- Divorce of a partner
Buy-sell agreements can control when (and to whom) partners can sell their stakes. Buy-sell agreements also can explain how an owner’s interest will be valued.
Buy-Sell Agreements Reduce Risk
Without buy-sell agreements to help settle disputes, you and your partners run the risk of costly litigation.
At Lerman Law Associates, P.C., attorney Craig Lerman holds a master’s degree in business administration. His knowledge and experience combine to give high-quality legal counsel to partnerships and businesses of all sizes.
How To Contact Lerman Law Associates, P.C.
Lawyer Craig Lerman prides himself on building long-term relationships with clients in the Greater Metro Atlanta area. He can help you draft a buy-sell agreement and be available for your ongoing legal needs. For a free initial consultation, contact the firm online or call 678-888-5773.