Selling your business (or its assets) can be a challenge. The same goes for buying assets, so it`s important that you have an experienced business lawyer who can work with you to protect your interests while ensuring that your transaction runs smoothly and without unexpected obstacles. If, in the case of an asset purchase transaction, a contract is considered fundamental to the enterprise, the buyer may insist on making the conclusion of the transfer subject to the novation of the contract. In this case, you can use a novation agreement to ensure that all three parties agree to this change. You can ask a lawyer at any time for advice on the transfer of employees and TUPE as part of a property purchase. An asset sale contract has several purposes. First, it is used to describe the assets to be purchased, to ensure that there will be no confusion afterwards as to what exactly will be purchased. Next, it defines the conditions under which the goods are transferred, including information such as data and similar details. Finally, it sets out the rights and obligations of the buyer and the seller. Before an APA can be considered valid, both parties must read, approve and sign the agreement.
Business assets refer to any valuable object held by a company, for example. B physical goods such as real estate or rolling stock, as well as intangible assets such as intellectual property. For a variety of reasons, a company may choose to sell its assets to another company. However, before a sale can be made, a business owner must enter into a purchase asset agreement (APA) which is a document that regulates transactions related to the sale and transfer of assets. Learn more about asset sales contracts, what they contain and where to find more information. A buyer will normally prefer to buy the assets of a company, while the seller prefers to sell the shares. This is because an asset purchase allows a buyer to precisely choose the assets they buy and precisely identify the liabilities they want to take over. Payment of VAT applies.   It is important to note, during an APA transaction, that it is not necessary for the buyer to purchase all of the company`s assets. .