This is different than simple “Business Brokerage”. The planning, confidentiality, tax repercussions, fees, costs, time, and need for competent counsel all increase exponentially. This is true for BOTH parties, not just the selling entity.

There are contracts, pre-closing non-compete agreements, employment agreements, consulting and management agreements, penalty cost agreements, and many others that are not in a “typical” business brokerage transaction.

Although M & A transactions are primarily for 100% of companies, some also make recapitalization investments where the present owner sells only a portion of their stock and remains in a management position of the company with a planned final exit strategy. Other times a “strategic alliance” is the preferred choice. Due to the inherent nature of the information released during due diligence, these require a much higher level of agreements that a normal 100% sale requires. Do NOT proceed down this road without COMPETENT COUNSEL.