Contributing 

How do I purchase an existing business name?

Leia Doyle

How do I purchase an existing business name?

Go to the secretary of state’s website in the state you want to register the business. Each state has its own database of companies registered. Enter the name you want to use in the search window and look for companies that might already be using your name.

What to consider before buying an existing business?

What to know before buying a business

  • Financial statements. Review balance sheets, profit and loss statements, annual reports and any cash-flow statements for at least the past three years.
  • Tax records.
  • Assets.
  • Customers and suppliers.
  • Reason behind sale.
  • Legal rights and obligations.
  • Competitors.

    Can someone steal my business name?

    If you have a unique brand name or logo, protect it. It is a simple thing for someone to snatch it out from under you and claim ownership of it. Your first step should be to register the name as a trademark. You can do this online through a number of services or hire an attorney.

    What is due diligence in buying a business?

    Due diligence is an investigation into the business or product you are interested in buying. When conducting due diligence, you will look at key issues of the business or product, including profits, financial risks, legal issues, and potential deal breakers. You will examine historical records and future projections.

    Which type of business is the simplest?

    sole proprietorship
    A sole proprietorship is the easiest and simplest form of business ownership.

    Can someone steal your business name?

    What is a common drawback of buying an existing business?

    its location may have become unsuitable; equipment and facilities may be obsolete; change and innovation are hard to implement; inventory may be outdated; accounts receivable may be worth less than face value; and the business may be overpriced. You just studied 58 terms!

    How long does it take to buy an existing business?

    Small business owners often exhibit a great sense of urgency to close a deal once they’ve made the decision to sell. But as the BizBuySell data points out, the process of selling a business typically takes at least six months – a timeline that most owners don’t anticipate.

    What documents should you ask for when buying a business?

    Buyers should request bank statements, profit and loss statements, contracts with suppliers and employees, lease agreements and tax returns from the seller as part of their due diligence, said Alan Pinck, an enrolled tax agent and owner of A.

    What financial information should I ask for when buying a business?

    What is the company’s financial status? Ask for audited year-end financial statements (balance sheets, income statements and cash flow statements) for the past three years. Ask for three years’ worth of tax returns.

    What do I need to buy an existing business?

    If you’re interested in buying an existing business, here’s what to look into: Licenses and permits: You’ll need to get any needed licenses and permits from the current owner or apply for them yourself. Find out which federal, state, and local permits and licenses you’ll need to run your business.

    What kind of legal documents do you need to buy a business?

    Buying a business: Which legal documents do you need? 1 1. An Asset or a Share Purchase? The difference here is fundamental, as it dictates everything that follows. If you’re buying a sole trader or 2 2. Preliminary Documents. 3 3. Asset Purchase Agreement. 4 4. Share Purchase Agreement.

    Which is the best way to buy a company?

    If you’re buying a sole trader or partnership, your only option is to buy the assets, because there are no shares to buy. If it’s a company, you’ve got a choice: either buy the assets from the company itself or the shares from the individual shareholders of the company. As a buyer,…

    Where can I find a business for sale?

    Searching on BusinessBroker.net is a great way to find businesses for sale. It may also be beneficial for you to have a helping hand to guide you along the way by way of a business broker. Business brokers work as many home brokers do – they help you find businesses that fit your buying criteria.