Buy-Sell Agreements are in place to address what happens to a departing business owner’s shares/interest in a business. Can the departing owner take them with him and still collect profits? Do they automatically revert back to the business or other owners? What happens if the departing business owner is forced out? Does it matter if…
Legal Articles
Funding Buy/Sell Agreements — Purchase & Restrictive Transfer Agreements
“Buy/Sell Agreements” are internal contracts between members, shareholders or owners of a business that spell out what happens to the shares of a departing business owner. They are designed to address and mitigate the business problems that arise when one of the owners of a business dies, retires, becomes disabled or departs. One of the…