What happens to a share when an owner dies, leaves or is bought out, decided while everyone is still friendly.
A buy-sell says who may buy, who must sell, on what event, at what price and with what money. Without one, the surviving owners may find themselves in business with a family, and the family may find itself holding something it cannot sell.
The provision that matters most is the one that is most often left blank: how the price is arrived at.
What this involves
- Cross-purchase and redemption structures
- Triggering events and who is bound
- Funding a buyout, including with insurance
- Aligning the agreement with each owner's estate plan
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Also in business succession
- Transfer restrictions and permitted holders
- Valuation on a triggering event
- Passing a business to one child
Who does this work
