What is a Buy/Sell Agreement?
A Buy/Sell agreement is a contract that allows you, as a business owner, to specify what happens to your business interest when you leave the business. If there are multiple owners, it allows you each to know where you stand and what will happen should another partner die, retire, or suffer another triggering action.

The triggering actions are most often death, disability or retirement. However they can include divorce, bankruptcy, termination of employment, creditor's judgment against an owner, loss of professional license or a third party offer to purchase.

Whether you leave by choice or by chance, a Buy/Sell agreement allows you to know that your business will continue to provide for family, employees and partners that depend on it.

Why Do We Need A Buy/Sell Agreement?
Without a buy sell agreement, The death or disability of an owner can leave surviving business owners or heirs faced with some very difficult decisions. Who will control the business? How will the family of the of the deceased or disabled owner become involved? What if the heirs want or need to sell their share of the business to pay estate taxes or provide liquid capital?

A Buy/Sell agreement allows the owners to consider how they want the business to proceed under a variety of circumstances, spelling out the details and planning for the financial aspects of the transition. By doing this ahead of time, they can assure both business continuity and family security. The Buy/Sell agreement can create a fair market for the closely held stock, allowing the family access to liquid assets to meet estate-related expenses.

How Are Buy/Sell Agreements Funded?

How are Buy/Sell Agreements Structured?