buy-sell agreements

Here’s one last issue that Chris Mercer raised in his Buy/Sell Agreements book that I want to share with you. Once you have (1) decided when an event triggers a buyout, and (2) computed how you’ll fund the purchase, you need to determine who gets to make the purchase and how you’ll come up with the […]

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When business is going well, it’s easy to overlook the flaws and peccadilloes. Partly because we want to ride the prosperity wave. But when the wave crashes, and you’re dumped onto the beach with the seaweed, the broken shells, and the flannisters (you know, those plastic yokes that hold six-packs together), are you really shoulder-to-shoulder […]

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Post image for What to Pay in a Partner Buyout

When you’re thinking about business divorce, there are a couple of hot button items that come to mind. First, you want to know which events trigger a buyout.  The three D’s usually factor into the most well-drafted partnership agreements: death (pretty obvious), disability (perhaps less obvious–how would you define “disability”?), and dissolution (you and your […]

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Now I’m not going to summarize the whole of Christopher Mercer’s book on Buy/Sell Agreements for you, but he raises a lot of valuable points that bear repeating (and sharing). First is an answer to that very question: why bother with a buy/sell agreement? Because, as Mercer writes, “they are designed to provide objective means […]

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I finally finished Z. Christopher Mercer‘s book, Buy/Sell Agreements: Ticking Time Bombs or Reasonable Resolutions?  Through no fault of Mercer’s, a number of things got in the way (work projects, travel schedule, the need to tune out/take a break/read trashy murder mysteries) of my reading through this intelligent and straightforward book — as I had promised I would […]

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Post image for Business Partners: A Cautionary Tale

In this challenging economy, I’m seeing a lot of entrepreneurs begin to re-evaluate their business  . . .  and, in particular, their business teams. When business is going well, it’s easy to overlook  the flaws and peccadilloes. Partly because we want to ride the prosperity wave. But when the wave crashes, and you’re dumped onto […]

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The portion of a partnership agreement that’s often referred to as a “buy-sell” agreement, can really help simplify matters if a business partner dies or becomes disabled.  But is it really “the simple solution,” as Robert Cavanaugh seems to indicate in his blogpost?  I would argue “not quite.”  Buy-sell provisions have to be addressed carefully […]

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There’s nothing like an editorial calendar to get you to focus on writing. Beginning in the next few weeks, I’ll be reading and commenting on the book Buy-Sell Agreements: Ticking Time Bombs or Reasonable Resolutions?by Z. Christopher Mercer.  Chris approaches the subject from a valuation point of view (no surprise, as you’ll learn he’s the […]

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