Buyers will want to pay close attention to the legal paperwork in order to make sure the seller has a legal right to sell the business to the buyer. In most cases, the seller’s lawyer will be involved in this part of the due diligence process.
The Paperwork of Due Diligence
The most important items that are included in the legal paperwork are:
- Incorporation documents
- Annual financial reports
- Shareholder information
- Officer and board member contact information
- List of federal, state, local permits and licenses
Having these documents in order will not only make the due diligence process smoother, but they will firm up the relationship between the buyer and the seller. As always, it is recommended that you review these documents with your M&A intermediary and lawyer. Let us help you in the M&A process. Contact us.
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