When you have hit the rock bottom of making sales and/or you need a large amount of cash for an emergency and you see no other option for you or your family’s safety and happiness than giving away your business, then here are the steps to keep in mind when letting go.
1. Accurate inventory
You will need an accurate reading of all the existing assets and ownership inventory of the business. This inventory should also include stocks, savings accounts of business and debts if you have any. The inventory will be the first step for you to gain interest from potential buyers so make sure to think of it as a marketing venture and emphasise on the good points of your sole proprietorship.
Get help from a corporate lawyer to draft up a contract for an interested party to sell the business. This should be kept simple and also only address the main concerns you have, main components of the sole proprietorship, your inventory (very briefly), purchase price you expect and also any terms that are applicable. You will be able to amend it accordingly once you grab an interested buyer.
3. Deeds and titles
This will be the sole responsibility of your corporate lawyer in Singapore to deal with and the transfer of your title as owner and title holder needs to be given to the new party. If there are any quitclaim deeds and other property or valuation of permits and other documentations applicable, they must also undergo the title change and transfer accordingly. This process is time consuming when there are permits and licenses involved so make sure to time it and also mention it in the contract properly.
4. Public notification
If your business has a customer base or client base then a formal and/or public notice should be sent notifying about the change in title ownership and also in most countries the state secretary and ministries or departments who keep track of businesses and proprietorship should be formally notified as well. Even though that sole proprietorship does not include any filing or documentation during inception or initiation, as a legal and registered ownership the notification should be sent out with the proper accurate details given out to the relevant authorities and governmental bodies.
An attorney would be your best friend during the title and ownership transfer process and make sure to check all and every legal documentation and other requirements thoroughly and completely so that you will not end up in a court or worse. Click this link http://www.rajahtannasia.com/our-practices/fraud-asset-recovery-investigation for more information about fraud investigation and dispute lawyers.
Harold Prado March 10th, 2016
Posted In: Business Services