The Sale & Purchase Agreement

Sale & Purchase Agreement
The purchase agreement consists of documentation that contains all the information concerning the sale.

Some information that needs to be in the agreement includes:

  • The names and addresses of the parties.
  • The names and addresses of the accountant and solicitors
  • The names and addresses of he broker involved (if any)
  • The price of the business being sold.
  • Details of what is actually being sold
  • Details of stock (if any)
  • The finance arrangements.
  • The date of the sale.
  • Where the business will be sold.
  • Any other agreements between the seller and the buyer.
  • Any documentation regarding loans.
  • Details regarding the lease.
  • Any other notes that affect the buyer.
  • Restraint of Trade clauses
  • Any other special conditions

It is usually the buyer’s responsibility to draft up the documentation for the purchase agreement through his/her lawyer and then send to the seller for acceptance. In practice, however, the seller will already have draft purchase agreements available, containing all the details and it is up to the buyer to accept it after consultation with his/her solicitors.

Sample of a Sale & Purchase Agreement

View a sample Sale and Purchase Agreement HERE  (pdf)