Buy-Sell Agreements and Operating Agreements
Buy-sell agreements are in place to protect a company’s longevity. Buy-sell agreements are contracts that determine how partners, or their heirs, will be compensated for their share of the company by the remaining partners if certain “triggering” events require them to leave the organization. Events that often cause partners to leave businesses include:
– Disagreements between Partners
It is best to implement buy-out contracts as early as possible, and when all partners are on good terms. Our Firm works with you and our attorney’s to help develop a valuation for your Company and identify trigging events and ensure that the correct financing mechanisms are in place to executive buy-sell agreements without causing undue hardship to your Company.