If you are embarking on purchasing a business in Florida, it can be both exciting and daunting. Many things must be taken care of, and several documents must be filled out and finalized.
One of these documents is a Florida business purchase agreement. This document is the contract for the sale of the business. Let’s look closer at buying and selling a business in Florida and the details of a business purchase agreement.
How to Buy and Sell a Business in Florida?
Whether you are buying or selling a business in Florida, here are the basic steps you will need to complete, as well as additional documents you may want to consider, such as:
- Florida Bill of Sale
- Commercial Lease Agreement
- Trademark Assignment Agreement
- Non-Compete Agreement
How to Sell a Business in Florida?
When selling your business, the first thing to do is to determine its worth. Look at all of your financial statements, earnings, and assets. It may be beneficial to have a comprehensive business analysis done by a business broker.
After you have decided on the price of your business, the next step is to develop a marketing strategy. It would be best to inform potential buyers that your business is available.
As parties show interest, you can start meeting with prospective buyers. You must determine if they have the financial means and are suitable to purchase and successfully run the business.
Once you have a list of potential buyers who have submitted offers, you can choose one and begin the closing process. You will need to create an FL business purchase agreement that defines all the terms and conditions of the sale.
How to Buy a Business in Florida?
When buying a business in Florida, you first want to decide what type of business best fits your skills and interests. Then, it would be best to determine your budget and how you will go about financing. Once you have done that, you can start looking for businesses available for purchase.
As soon as you find the perfect one, you will want to set up a meeting with the seller. If you are still interested after your initial appointment, you will submit an offer through a letter of intent to the seller.
If they accept your offer, you must review the business purchase agreement and finalize the purchase. There will likely be negotiations on the sale price between you and the seller before you come to an agreed-upon sale price.
What Needs to Be Included in a Florida Business Purchase Agreement?
The buyer and seller will need to sign a Florida business purchase agreement toward the end of a sale. At the very least, this agreement should include:
• Who the seller is
• Who the buyer is
• The sale price
• What the sale includes, including all assets, equipment, etc.
• Whether existing employees will still work at the business after the sale
• The closing date
• If and how existing loans will be transferred
Florida Business Purchase Agreement Sample
Here is an example of what a business purchase agreement might look like. We also provide a downloadable template in PDF & Word format that you can fill out on your own.
This is a document preview. Your customized version will be created after you answer a few quick questions.
State of _________________
BUSINESS PURCHASE AGREEMENT
This Business Purchase Agreement (this “Agreement”) is entered into as of the _____ day of
_______________, 20_____ (the “Effective Date”) by and among/between:
Seller(s): ___________________________________________________, (collectively the “Seller”) and
Buyer(s): ___________________________________________________, (collectively the “Buyer”).
WHEREAS, the Seller owns and operates a business known as ________________________ [Business
name], a ________________________ [State]: (Check one)
☐ Corporation
☐ Sole proprietorship
☐ Limited liability company
☐ Partnership
☐ Limited partnership
☐ Limited liability partnership
located at ________________________________________ [Address] that engages in the business of:
_______________________________________________________ [Description] (the “Business”); and
WHEREAS, the parties intend that the Seller shall sell to the Buyer the Business for the price, terms and
conditions described below, and pursuant to the attachments and exhibits, if any, annexed to this main
document.
NOW THEREFORE, for the reasons set forth, and in consideration of the mutual covenants and promises
of the parties hereto, and intending to be legally bound, the Seller and the Buyer agree as follows:
1. Sale of Business. On the terms and subject to the conditions set forth in this Agreement, the Seller
agrees to sell, assign, transfer, convey and deliver to the Buyer, and the Buyer agrees to purchase and
acquire from the Seller all rights, title and interests of the Seller in and to the Business, including:
(Check one)
☐ The assets described in Exhibit A attached hereto.
☐ ALL inventory, receivables, equipment, patents, trademarks, licenses, business records, goodwill,
going concern and other assets of the Business, whether tangible or intangible.
☐ The following assets only: (Check all that apply)
☐ (a) Cash. Cash and cash equivalents of the Business on hand or in financial institutions.
☐ (b) Receivables. Accounts receivable, notes receivable and other amounts owed or payable to the
Business.
☐ (c) Inventory. All inventory and works in progress, wherever located.
☐ (d) Intellectual Property. All intellectual property of the Business, including patents, copyrights,
trade secrets, know-how, trademarks, software and other content created for the Business.
☐ (e) Goodwill. The Seller’s goodwill and going concern with respect to the Business.
☐ (f) Licenses and Permits. All transferable licenses, permits, approvals, registrations, certificates
and other authorizations relating to the Business.
☐ (g) Contracts and Other Agreement. All contracts and other agreements, including leases, supply
contracts, purchase orders and other third-party contracts used in the operation of the Business.
☐ (h) Books and Records. All books, records, surveys, ledgers, files, documents, lists, reports and
other related materials and data related to the Business.
☐ (i) Prepayments. All prepaid expenses paid by the Business.
☐ (j) Equipment and Fixtures. All equipment, fixtures, and other tangible assets of the Business.
☐ (k) Real Property. All real property, including all buildings, fixtures, structures, signage and
improvements, owned by the Business.
☐ (l) Insurance. All insurance policies of the Business and claims, refunds or proceeds thereunder.
☐ (m) Tax Refunds. All refunds or claims for any federal, state, local or foreign taxes paid by the
Business.
☐ (n) Subsidiaries and Investments. All membership or equity interests in any subsidiary, joint
venture or other investment of the Business.
☐ (o) Personnel Records. All personnel records and files of employees of the Business.
☐ (p) Claims or Rights. All claims, causes of action or rights of recovery related to the Business.
☐ (r) Other:______________________________________________________________________
2. Excluded Assets. Notwithstanding anything to the contrary in this Agreement, the Seller will not sell,
assign, transfer, convey or deliver to the Buyer the following assets: (Check one)
☐ Not applicable.
☐ Assets listed in Exhibit B attached hereto.
☐ Excluded Assets:___________________________________________________________________
____________________________________________________________________________________
3. Assumed Liabilities. Unless otherwise specified herein, the Buyer agrees to assume and be
responsible for: (Check one)
☐ The liabilities listed in Exhibit C attached hereto.
☐ ALL current liabilities incurred by the Seller in connection with the Business.
☐ The following liabilities only: (Check all that apply)
☐ (a) Accounts Payable. All accounts payable of the Business.
☐ (b) Accrued Payroll. All accrued payroll owed to employees of the Business or other amount owed
in relation to any employee benefit plans.
☐ (c) Employee-Related Expenses. All liabilities related to employees, including severance or costs
associated with termination of employees.
☐ (d) Tax Payable. Any taxes or liabilities relating to the Business or ownership of the Business.
☐ (e) Environmental Liabilities. All liabilities and obligations related to environmental laws or
regulations.
☐ (f) Contractual Obligations. All obligations and liabilities in connection with the contracts and other
agreements included in the sale of the Business.
☐ (g) Accrued Other Business Expenses. All other current expenses and liabilities relating to the
Business.
☐ (h) Other: _____________________________________________________________________
4. Excluded Liabilities. Notwithstanding anything to the contrary in this Agreement, the Buyer will not
assume or be liable for: (Check one)
☐ Not applicable.
☐ Any liabilities related to any excluded assets, in addition to the liabilities listed in Exhibit D attached
hereto.
☐ Any liabilities related to any excluded assets, in addition to the following liabilities: _______________
____________________________________________________________________________________
5. Purchase Price. Buyer will pay to the Seller the purchase price for the sale of the business in the total
sum of $__________ (the “Purchase Price”), payable by wire transfer: (Check one)
☐ At the time of closing.
☐ Including a deposit as follows:
(a) $__________ at or before the signing of this Agreement, which sum shall be held in escrow and
applied to the Purchase Price at the time of closing hereunder; and
(b) The remaining balance at the time of closing hereunder, subject however to any adjustments
provided for in any other part of this agreement.
6. Allocation of Purchase Price. The Purchase Price shall be allocated in accordance with the Internal
Revenue Code §1060: (Check one)
☐ As agreed upon by the parties within thirty (30) days of the closing date.
☐ As follows:
Asset
Value
_______________________________________________________
$_____________
_______________________________________________________
$_____________
_______________________________________________________
$_____________
_______________________________________________________
$_____________
_______________________________________________________
$_____________
_______________________________________________________
$_____________
7. Adjustments at Closing. (Check one)
☐ Not applicable.
☐ Adjustments shall be made at the time of closing as follows: ________________________________
____________________________________________________________________________________
8. Closing Date. The sale and transfer of assets and the closing under this Agreement shall take place
on ____________________, 20_____ (the “Closing”). At that time Seller shall deliver possession of the
tangible property and all assets included in the sale to the Buyer and all other instruments and documents
necessary to transfer the Business and assets to Buyer. Seller shall at that time execute and deliver all
papers and instruments suitable for filing and/or which are necessary to transfer ownership of the trade
name to Buyer, and Seller shall thereafter cease to use said name in any manner or purpose. When that
delivery is made to Buyer and when Seller receives the balance due on the Purchase Price, the sale by
Seller to Buyer shall be completed and effective, and Buyer shall have ownership and possession of the
Business and the assets.
9. Representations and Warranties of Seller. Seller represents and warrants that:
(Check all that apply)
☐ (a) Seller is duly qualified and organized, and is validly existing and in good standing, under the
laws of its state of formation.
☐ (b) Seller has the requisite power and authority to enter into and perform under this Agreement.
☐ (c) Seller is the owner of and has good and marketable title to the property involved in this sale,
free of all restrictions on transfer or assignment and all encumbrances except for those that are set
forth in this Agreement.
☐ (d) Seller is not required to acquire any consents, approvals or authorizations by any
governmental authority to execute, deliver and perform its obligations under this Agreement.
☐ (e) The execution and delivery of this Agreement by Seller will not conflict with or result in a
violation of or default under any material agreements to which Seller is a party or create a lien upon
the Business.
☐ (f) There are no proceedings, judgments, or liens are now pending or threatened against Seller or
against the Business.
☐ (g) Seller has complied with all applicable federal, state, and local statutes, laws, and regulations
affecting Seller’s properties or the operation of Seller’s business, and Seller has received no notice of
a violation or citation same from any governmental agencies.
☐ (h) Seller has not otherwise contracted to sell, pledge, or mortgage all or part of the Business.
☐ (i) Seller has all necessary licenses and permits required to operate the Business.
☐ (j) Seller has paid all taxes, federal, state and local.
☐ (k) Seller has in full force and effect a general liability and casualty insurance policy in such
amounts as are carried by similar companies.
☐ (l) Seller has presented to Buyer true, complete, and correct information and documents regarding
the Business, and none of the information contains an untrue statement of material fact or omits to
state a material fact.
10. Representations and Warranties of Buyer. Buyer represents and warrants that:
(Check all that apply)
☐ (a) Buyer is duly qualified and organized, and is validly existing and in good standing, under the
laws of its state of formation.
☐ (b) Buyer has the requisite power and authority to enter into and perform under this Agreement.
☐ (c) Buyer is not required to acquire any consents, approvals or authorizations by any
governmental authority to execute, deliver and perform its obligations under this Agreement.
☐ (d) There are no proceedings, judgments, or liens are now pending or threatened against Buyer
that may effect of delay its purchase of the Business.
☐ (e) The execution and delivery of this Agreement by Buyer will not conflict with or result in a
violation of or default under any material agreements to which Buyer is a party.
☐ (f) Buyer understands that Seller is making no other representations or warranties other than as
provided in this Agreement.
11. Covenants. Between the signing of this Agreement and the date of the Closing:
(a) Buyer shall have the right at any reasonable time prior to the Closing, at Buyer’s expense, to
inspect or have inspected by a certified public accountant or other financial expert, the books and
records of the Business.
(b) Seller will operate the Business in the usual and ordinary manner and will not enter into any
contract except as may be required in the regular course of business.
(c) Seller shall not remove or cause to be removed any inventory of the Business except upon sale in
the ordinary course of business or in the event of return to a supplier for credit.
(d) Seller will pay all taxes, federal, state and local.
(e) Seller will not do anything to cause a violation or breach of any contracts relating to the Business.
(f) Seller will pay and will not increase the salary or commissions of any employee, agent, or
representative of the business.
12. Conditions Precedent. (Check one)
☐ Not applicable.
☐ The Closing is subject to the satisfaction of the following conditions on or prior to the date of the
Closing: ____________________________________________________________________________
____________________________________________________________________________________
13. Covenant Not to Compete. (Check one)
☐ Not applicable.
☐ Seller agrees to a non-compete.
(a) Seller shall not engage in a business similar to that involved in this transaction in any capacity,
directly or indirectly, either as a principal, agent, manager, owner, partner, employee, officer, director,
or stockholder of any company or corporation, or engage in or become interested financially or
otherwise in any business, trade, or occupation similar to or in competition with the business sold
hereunder, within a radius of __________ miles from the City of __________________, for a period of
__________ ☐ months ☐ years from the date of closing or so long as Buyer or his successors
carry on a like business, whichever first occurs. The parties agree that this provision is an essential
part of this Agreement and is material to the sale and purchase of Seller’s business. For purposes of
this Agreement, “business similar to that involved in this transaction” includes within its scope any of
the following: _____________________________________________________________________.
(b) (Check if applicable, strike out if not)
☐ The parties agree that Buyer shall have the right to assign this restrictive covenant in the event
that Buyer sells the business, and Seller agrees to remain obligated by the covenant to any
subsequent purchases from Buyer.
(c) Seller shall pay the sum of $__________ to Buyer for each week in which or during which Seller
may breach or violate the restrictive covenant not to compete contained herein. Buyer’s receipt of
such sums each week shall not be deemed a waiver or release of Buyer’s rights to prevent further
violations by seeking equitable relief in a court of law.
14. Notices. All notices given under this Agreement must be in writing. A notice is effective upon receipt
and shall be sent via one of the following methods: delivery in person, overnight courier service, certified
or registered mail, postage prepaid, return receipt requested, addressed to the party to be notified at the
address designated by either party upon reasonable notice to the other party.
15. Amendment. This Agreement may be amended or modified only by a written agreement signed by
both of the parties.
16. Survival of Terms. All covenants, warranties, and representations herein shall survive this
Agreement and the closing date.
17. Binding Effect. This Agreement shall be binding upon and shall inure to the benefit of the parties and
their successors and assigns. Neither party may assign its rights or delegate its duties under this
Agreement without the other party’s prior written consent.
18. Governing Law. This Agreement will be governed by and construed in accordance with the laws of
the State of _________________, without regard to the principles of conflict of laws.
19. Disputes. Any dispute arising from this Agreement shall be resolved through:
☐ Court litigation. Disputes shall be resolved in the courts of the State of ______________. Each party
waives any objection to the laying of venue for any such suit, action or proceeding in such court.
(Check if applicable, strike out if not)
☐ If either Party brings legal action to enforce its rights under this Agreement, the prevailing
party will be entitled to recover from the other Party its expenses (including reasonable attorneys’
fees) incurred in connection with the action and any appeal.
☐ Binding arbitration. Binding arbitration shall be conducted in accordance with the rules of the
American Arbitration Association.
☐ Mediation.
☐ Mediation, then binding arbitration. If the dispute cannot be resolved through mediation, then the
dispute will be resolved through binding arbitration conducted in accordance with the rules of the
American Arbitration Association.
22. Counterparts. This Agreement may be executed in one or more counterparts, each of which shall be
deemed to be an original, and all of which together shall constitute one and the same document.
23. Headings. The section headings herein are for reference purposes only and shall not otherwise affect
the meaning, construction or interpretation of any provision in this Agreement.
24. No Waiver. No Party shall be deemed to have waived any provision of this Agreement or the exercise
of any rights held under this Agreement unless such waiver is made expressly and in writing.
25. Severability. If any provision of this Agreement is held to be invalid, illegal or unenforceable in whole
or in part, the remaining provisions shall not be affected and shall continue to be valid, legal and
enforceable as though the invalid, illegal or unenforceable part had not been included in this Agreement.
26. Entire Agreement. This Agreement and the attachments and any associated documents represent
the entire agreement between the parties, and there are no representations, warranties, covenants or
conditions, except those specified herein or in accompanying instruments or documents.
27. Miscellaneous.
____________________________________________________________________________________
____________________________________________________________________________________
____________________________________________________________________________________
IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first written above.
Seller Signature
Seller Full Name
Seller Signature
Seller Full Name
Buyer Signature
Buyer Full Name
Buyer Signature
Buyer Full Name
EXHIBIT A
