Overview
When an offer on a business is made, the user submits a Terms Sheet. When an offer is made, the party that receives the offer may:
Counter: change the terms of the offer.
Reject: the party that submitted must draft and submit an entirely new offer.
Accept: The Buyer and Seller continue on to the transactional phase, locking other Buyers out of the system. This opens up the Prepare Agreement step.
Details
The Terms Sheet will outline whether the purchase is an Asset Purchase or a Stock Purchase.
Users will enter the monetary value of their offers into the cash at close and promissory note fields.
Other Considerations is where the Buyer and Seller write out the assets and liabilities that the Buyer will assume. This can include, but is not limited to:
Assumed Notes
Assumed Leases
Covenant Not to Compete
Consulting Agreement
Employment Agreement
Royalty Agreement
Earn-Out Agreement
Any Excluded Assets
Users can set the schedule of expected completion dates for the following:
Completion of Schedules & Exhibits
Upload DRAFT of Agreement
Execute Agreement & Closing Docs
Complete Transition Plan
Users can change which party is responsible for creating the purchase agreement. Generally, the party drafting the document is able to make the terms slightly more favorable for themselves.