Buying and Selling a Business
Jul 4, 2007
Author:Nick Morrison

Sometimes they own a limited company and sell its shares and sometimes its assets and in other cases they trade in partnership or as a sole trader and are selling assets to the buyer. Nick Morrison says says:
“We provide advice and guidance on business sales and purchases and can ensure you are properly protected legally in all contractual documents relating to the sale or purchase. In June, the Office of Fair Trading issued a consultation in revised guidance in merger cases. Some mergers, particularly in narrow local markets where the parties’ market shares are over 25%, may need to be cleared by the OFT.

Under the Enterprise Act 2002, the OFT has a duty to refer certain mergers to the Competition Commission. The exception allows the OFT to decide not to refer where the markets involved are not of sufficient importance to justify a reference. Existing guidance suggests that the OFT may consider a merger in a market worth as little as £400,000 per year to be of sufficient importance to justify a reference to the Competition Commission. The revised guidance raises the market size threshold to £10 million. Many other legal issues relating to a sale of a business arise, including protection for employees under regulations known as TUPE 2006.
Call Nick Morrison on 01494 521301.