Posts Tagged ‘contract’

Buying And Selling A Business

June 17th, 2010

For someone to make the decision to sell their business, they will have had to put in some careful thought as it is one of the biggest decisions a business owner will ever have to make and they will want to make sure that they get the most out of the sale as possible.

By the same token, buying a business requires just as much care and thought so as to avoid inadvertently buying unknown liabilities and to ensure that you have the best possible chance of success with your new business.

This article is intended to give a brief outline of the overall structure involved in selling or acquiring a business.

Here is the basic order of processes involved in a sale/acquisition of a business:

Both buyer and seller instruct advisers.

The next step is both buyer and seller agreeing on a Heads of Terms and Confidentiality Agreement.

Due diligence enquiries are then carried out by the buyer which the seller is obliged to respond to.

The buyer is then required to draw up an acquisition agreement, and the seller, a disclosure letter.

Both parties will then meet up and agree (or compromise until an agreement can be made) on their acquisition agreement and disclosure letter and exchange copies of each.

Now the actual implementation of the change of ownership can take place, followed by any previously agreed post-sale actions.

The main documents involved may include:

Heads of Terms;

Confidentiality Agreement;

Due Diligence Enquiries

Acquisition Agreement (of shares or assets as appropriate) and Deed of Indemnity (share purchase only)

Disclosure Letter;

Service Contracts

SHARES v ASSETS

Basically, if a company is purchased, all of its assets and liabilities, both known and unknown, will go with it and the buyer will acquire them all.

However with an asset purchase, the buyer only acquires the assets and/or liabilities he has agreed to.

In both cases the employees will retain rights of employment. This is often a difficult area and needs to be approached carefully.

Conclusion:

Buying and selling a business is a specialist area so it’s worth thinking about consulting with one-off advisers to help you get the most out of the transaction. The main advisers you will need will be an accountant, a law firm that specialises in these kinds of transactions and maybe a corporate financial adviser.

A good starting point is to seek your accountant’s advice on a value for the business. Although valuing private companies can be a complex process, it is always better to have a realistic price in mind before you embark on a sale or purchase process.

5 Top Tips:

1. Do as much preparation as possible;

2. Pay attention to the Heads of Terms;

3. Deal with due diligence enquiries/replies promptly;

4. Use your advisers well;

5. Don’t forget the price.

If you are thinking about undergoing the process of a business sale, you could do a lot worse than seek advice from a professional, specialist law firm such as Tolhurst Fisher. They are a firm of solicitors Essex and specialise in areas of law such as buying and selling businesses. Click on solicitors Essex


A Few Tips On Getting Life Insurance Quotes Instantly

May 31st, 2010

Life insurance quotes are extremely important when anyone is aiming to get life insurance. Anyone who has dependents and a family that is relying on them will certainly need to consider the idea of a life insurance policy in order to safeguard their family in the event of the death. As such, getting the quotes for these policies will be extremely easy in the world in which we live, particularly when using the Internet. The Internet allows insurance companies to be available for our needs 24 hours a day every day of the week and so gathering quotes really could not be any more simple.

The first thing to think about will be what type of policy and what type of contract you want to get. There are all sorts of different life insurance policies you can choose from and so you will need to evaluate your specific needs so that you choose the right one before moving on to the next stage.

You should also be checking out the features of each policy closely so that you can work out which features you would want and which you will not. Educating yourself about how these policies work is extremely important and will enable you to choose the perfect one for you and your family. This will enable you to make sure that you are not paying for unnecessary coverage you don’t require.

You will also need to gather together your personal information in order to get these quotes. To get any sort of instant quotes you will need to provide a great deal of information and without this you will either not be able to get a quote or will get one that is completely inaccurate for your needs.

In addition to this you will need to input information regarding the top policy you want to get. Not only will this be concerned with the type of policy you want, but also how you would like to pay and your preferred payment plan, the length of the term of the policy, and many other aspects as well.

Once you have done this in order to gather a single then you should certainly do it multiple times so that you can get many different quotes from many different companies. This will be an extremely important part of the process and will enable you to get lots of different quotes that can then be compared in order to find the best policy for your situation.

As such, you may want to simply look for these quotes online through different company websites and getting quotes directly. However, for ease of use you may also want to consider some sort of comparison site which will make both gathering quotes and comparing them a lot more simple. Finally, if you desire to do so you can also get them directly over the phone as well.

If you’re looking for genuine, impartial advice on life insurance quotes and life insurance policies, then you should take a look at www.forlifeinsurancequotes.com, a site that specialises advice about life insurance.


Shareholder Agreements

May 21st, 2010

A well established setup for running a business is where shareholders own the business, and the directors make the decisions regarding company direction and day to day activity. This principle generally works smoothly while the owner still manages the business and operations are still relatively small, however when new investors turn up or when several generations are involved, things can get a little bit complicated.

Once the company has grown and been around for a while, issues can arise. Such as, if the founder wants to retire, does he relinquish all pulling power over the direction of the business? Should he be able to retain his shares and draw dividends? Or another issue could be that you have equal shareholders and they cannot come to an agreement on a new direction for the business. When people high up in a company want different things, conflicts tend to arise.

Potentially such situations can be devastating. So much management time and effort becomes involved in the dispute that the underlying business suffers. A paralysis in decision making benefits no-one, and reaching a resolution can be a lengthy, not to mention expensive, process.

All of these conflicts can be resolved before they even arise by putting in place a detailed and meticulously thought through shareholder agreement. Some careful planning and thought in the early stages of a business will pay off when disputes are resolved before they get started. This shareholder agreement will be a private document between individuals and will be hidden from public view.

Some of the matters that can be covered in a shareholder agreement include share valuation, decision making, income distribution and succession. The way in which shares are handled can be dealt with in a set of “pre-emption” rights and these rights will usually give existing shareholders first refusal if any other shareholders want to sell. If it is agreed in the shareholders agreement that shares can only be owned by someone working in for the business, then pre-arrangements to force a share-transfer can be made in the event that a shareholder leaves.

An agreement can state that certain activities like pointing the business in new directions require all or a given percentage of shareholders to agree before they go ahead. This means that the minority shareholders will have a much bigger say in how the company is run.

Of course, how simple or detailed an agreement your company has is completely up to you, but unless something is covered right from beginning, then there can be no conclusive decisions about it should a dispute arise in the future.

As Graeme Provan of Tolhurst Fisher LLP stated “anyone setting up in business needs a professionally drafted agreement at the outset to prevent disputes later on.”If you are having issues like this within your company, you should contact Tolhurst Fisher, they are based in Chelmsford, Essex and provide specialist solicitors in Essex Just click on solicitors in Essex


Volcanoes Are No Concern For Caravan Lovers

May 20th, 2010

This Easter saw caravan holidays rise to the status of “most convenient” after the eruption of the Icelandic volcano saw most aeroplanes around the world either completely grounded or at least disrupted.

It was truly a great feeling, pulling my caravan home whilst air-traffic had ground to a halt and not even having to concern myself with whether or not my insurance covered volcanic eruptions covered happening in a distant country. It suddenly feels as if caravan lovers everywhere have been vindicated. Next time someone says something along the lines of “cars towing caravans are slow and only get in the way” you could remind them that there was a period around Easter 2010 in which a caravan could get from anywhere in Europe to almost anywhere else in Europe faster than the average plane.

As well as that, most anti-caravan type people often refer to caravans as being tight and claustrophobic, but even the smallest of caravans would have seemed thankfully open and spacious compared to a spot on an airport floor or a single seat on a coach.

Of course, between those of us who understand the beauty behind caravan holidays this is all irrelevant. We each like doing our own things in our own leisure time, and how boring would the world be if we all liked the same things? However, the reason for this little gloat is that people who, as a rule, don’t do caravans, tend to make fun of those that do, and we rarely, if ever reciprocate.

So, although I didn’t incur any of the costs and inconveniences that the aeroplane fan-club did this Easter, I did have some additional costs, and not the kind that you can insure against either.

I took the latest edition of Caravan Magazine with me on my travels because we are thinking of buying a new caravan soon and we had planned to read all about the cost of our next purchase, but ended up reading their insurance survey. It seems after reading this survey that because I couldn’t be bothered to buy my insurance through a broker, I overpaid for it by quite a lot. If you are looking to get cheap caravan insurance it would be well worth shopping around because there were loads of comparisons in Caravan Magazine and I was quite surprised by some of the results.

If you are looking to take out caravan insurance, but want to make sure you get the best deal possible, you should arrange it through Coversure. They are an insurance broker with excellent relationships with providers and can always secure a great deal on static caravan insurance or touring caravan insurance.


How Caravan Insurance Can In The Long Run Save You Money

May 2nd, 2010

Caravan insurance is available for both touring and static caravans, which means that no matter what kind you own you will be able to get ample coverage. In order to choose the coverage that is right for your needs I would like to tell you how to choose your insurance and of course what it will give you cover for.

When deciding what kind of insurance coverage you need you will first need to think about what kind of caravan you own, whether it is one that is touring or whether it is in one place, otherwise known as a static caravan. You also need to think about the things that you keep in the caravan, whether all or part time. These things also include the cooker, fridge and you can even insure the furnishings should they become damaged.

Static caravans tend to also have outdoor furnishings and awnings added and as they are easily removed by dishonest people you will want to make sure that they are covered by your insurance also. You should ask your insurer whether this is something they will provide and of course ask at what cost.

People will steal a caravan if they can make money from it whether it is on your drive or try to break in if you are in a holiday park. Security measures can never be 100% foolproof and criminals are always finding ways around even the latest technologies. Of course it will be distressing enough if you are a victim of such crime but you should make sure that you do have the coverage so that you can replace anything that is damaged or stolen without having to use your savings to do so. It ill depend on the coverage you choose as to whether you will receive an old for new or whether you will be given the market value of the caravan at the time.

You can see that there are many benefits to making sure your caravan is covered by insurance, you will find that you can insure touring caravans if they are involved in any kind of accident while you are on the road. This will also mean that if anyone is injured and you are liable the medical bills and court costs will be covered as well as any property damage that may be caused.

Even if the static caravan is where you live you can still have the coverage you need so that even if you can secure your home as you would a house, you are still able to make sure that any damage or loss can be recovered without extra cost to you.

Caravan insurancecaravan Insurance is one of the most important aspects that you can get in this day and age. There are lots of benefits that you can look into when you get this kind of Insurance.


Ways To Find Low Life Insurance Quotes

April 30th, 2010

Life insurance quotes can be gathered online or off line. We all like going to the actual store and buying our goods, being able to feel and touch, and no what we are getting first hand. A lot of people feel that way with insurance as well. They like to be in front of the agent speaking with them or looking through books. Now that we have the World Wide Web this process has been made a lot more enjoyable.

There are some advantages to taking the long route and driving around shopping for your insurance. You have the convenience of actually meeting someone and talking to them in person, and you get the security of being in an actual building physical building. Other than that, the Internet is the way to go.

When searching for insurance online. There are some websites that give you the option of inserting your information, and they will give you several quotes that will include their company as well as others. To hang in there with the competition, and also encourage you to use the web for your insurance needs. Most companies offer an additional discount for getting your quotes online.

There are licensed insurance agents that are well equipped to speak with you via online chat or telephone. They will be well trained and specialize in handling insurance for your specific state, so no need to worry and wonder if you will be getting information that is pertinent for your state. Different states carry different regulations, so this will go a long way in making sure that you are not only getting the best deal, but you are legally covered for your region.

It is essential that everyone has some type of life insurance. There are different ones to choose from, meaning types of plans as well as companies, but you can find the right one that will fit your families needs, as well as your budget.

There will be various factors of your plan that will affect the cost of your premium. Factors like your age at the time of applying, whether or not you are a smoker, your current state of health, and many other varying factors. These all depend on which company you are going with and what they offer and what they will accept.

When it comes to life insurance quotes you do not have to be a slave to one company there are a lot of options available for you to choose from. Since this is your life we are talking about you should take the time to make sure it is covered the best way possible. You will let Lisa have the peace of mind of knowing that if there ever is an unfortunate incident your family will be covered.

Decent life insurance quotes can be hard to come across, even high quality information about life insurance quotes can be, but there are places online where this information is available for free.


Rent Guarantee Insurance

March 31st, 2010

“It feels so unjust. You own a property, you let it to someone on the promise of a fair rent, and they don’t pay up. More often than not, you will have a mortgage to pay, and the lender expects its monthly instalments. It feels like the property owner takes all the risks. Surely my insurance broker will be able to find a way to mitigate the risk of arrears with insurance.”

This is a common plea, and help is at hand. Rent Guarantee Insurance helps to redress the balance in favour of the property owner. In addition to replacing your lost income, the insurance company will bring all of its experience and organisational skills into securing the eviction of the errant tenant.

The popularity of this kind of insurance has grown since the dawn of the recession. People can fall behind on their rent for a huge number of reasons, whether it’s trades-people struggling to find work, professionals who’ve fallen on hard times or people claiming benefits who’ve just overspent on a given month. However, the vast majority of people don’t move into a rented property with the intention of getting into arrears, but the landlord has a right to collect rent all the same.

It is very rare for a landlord to own a property and not actually need the rent. The boom in “buy to let” mortgages has meant that many very normal people have become landlords. These people need their rental income to pay their mortgage and avoid the banks repossessing the property from them. That’s why they are willing to spend a proportion of their rental income on insurance.

With this type of insurance there are two main policy types, there is the standard insurance against lost income from tenants going into arrears, and for a premium, the insurance company will pay the rent if the tenant does not. Some companies ask for credit checks to be carried out but not all of them will, and some will not insure you if your tenants are claiming benefits, but some will.

Secondly, the insurance company will often help you to secure an eviction if your tenant simply can’t keep up. This is very helpful, and you should make sure you have this cover with your insurances. Most landlords do not have the time or the skills to succeed in this minefield. If you are a landlord/property owner, your insurance broker will be able to advise you on the correct insurance for your property.

If you are a landlord and you are looking for some friendly advice on property owners insurance, you should visit Coversure, they are one of the UK’s best providers of insurance for anything from office insurance to caravan insurance.


Thinking Of Lending Your Motorhome To Festival Goers? Make Sure You’re Covered!

March 23rd, 2010

If you’re an old insurance man like me, going grey and still carrying a liking for old early 70’s bands like soft machine and caravan, then you probably think that you’ve seen the last of your summer music festivals with nights spent cramped under the canvas of a tent and waking up with aches and cramps in places you didn’t know existed! However, another way to go is to take your motorhome (or somebody else’s) along to the festival and enjoy the music and the atmosphere without the nights spent on the floor under canvas.

What many people have found with the motorhome route that you get the best of both worlds really because you can enjoy the atmosphere of the festival and of course the live music, but you get a cup of tea every morning, there are no queues for toilets and showers and you have a comfortable, dry bed to sleep on every night!

Many motorhome owners rent out their motorhomes for just this type of event with most not realising that any such hiring of their motorhome for “hire & reward” purposes will not be covered under their standard motorhome insurance policy.

A distinct memory of last year’s Glastonbury festival was of a couple leaving their motorhome having had their breakfast and prepared for the day, only to return later in the day to find that one of Glastonbury’s infamous rain storms had weighed down the awning outside it and caused it to bend and break meaning it was more or less ruined. This would have been probably over 1000 worth of damage and if they had hired the caravan without letting the insurance company know, then it would be completely uninsured.

It pays to think about insurance if you’re going to let your motorhome go to Glastonbury or any other festival this year.

If you’re not going yourself, it is probably best to start by loaning your motorhome to friends or family rather than people you don’t know because adding friends or family to an existing insurance policy is by far the easiest way to go. So you can watch the festival from the comfort of your own home, safe in the knowledge that your motorhome is being looked after and even if it isn’t, you’ll know you have the right insurance to cover it.

If you are looking for motorhome insurance then you should visit Coversure, they are among the best providers of vehicle insurance providing everything from straight up car insurance to caravan insurance Grab a totally unique version of this article from the Uber Article Directory


The Importance Of Having Caravan Insurance

March 19th, 2010

Chester Cooke was excited by the prospect of buying a caravan on the banks of the River Avon, not far from Stratford, on a professionally run, well maintained and gorgeous site with lots of amenities. Being a diligent kind of chap, he looked into all of the potential issues, after all you can’t be too careful with the thick end of twenty grand plus annual service charges, which didn’t include insurance for some reason.

So he then called his broker and said that he was looking for some caravan insurance. His broker then told him that that shouldn’t be a problem and he would be more than happy to get him a quote. So Chester gave his broker the details of the caravan and where it would be situated.

A few minutes later, the broker called Chester back and said that unfortunately he was not able to find any insurance companies that would offer him insurance, not because of the caravan itself, or even the site that he had chosen, but it was to do with the exact spot that he had chosen. It was right on the bank of river Avon, which had flooded the year before, causing a massive number of insurance claims on the grounds of water damaged property, and so now insurers were very wary about insuring caravans that were right on the water’s edge. This meant that if Chester really wanted the caravan, and he wanted it right there, it would have to be at his own risk.

This news meant that Chester could not have his caravan exactly where he wanted because it was quite likely that the Avon would flood again at some point in time and he could not afford to have a caravan there without it being insured. He asked his broker about other “normal criteria” for caravan insurance so that might continue pursuing his plans to buy a caravan.

A registered CaSSOA site is ideal for caravan insurance providers. The reason for this is that these sites have security standards. Another thing to look for in a caravan site is a secure boundary like a fence or a tall, thick bush running around the boundaries of the site. If the caravan is to be placed in a less formal location, such as a farm, then the caravan should have its own compound and it own defined perimeter. Some insurance providers insist that a caravan site must have a certain number of caravans placed there before they will insure any, safety in numbers as it were.

Chester hadn’t really though that the insurance would play such an important part in the buying of his caravan. He was just appreciative of his knowledgeable broker who could steer him in the right direction, after all, he just wanted to enjoy his caravan and the insurance was just to take to worry out of owning one.

Caravan insurance is one of the biggest factors to take into consideration when thinking about buying a caravan. Coversure are a leading provider of caravan insurance and can offer you advice, or a quote to insure your caravan Get a totally unique version of this article from our article submission service


Thoughts On Motorhome Insurance

March 5th, 2010

Insurance Times published an article recently stating that the financial ombudsman had decreed that there are certain circumstances in which it would back the policyholder over the insurer, excluding however, instances where keys have been left in or near a car. I was then left wondering if the same would apply to motor homes.

So the family and I had rather a late night in our motorhome playing cards and so we were all quite tired when we eventually turned in for the night, meaning that the next morning we were already late for our arranged meeting with our friends and fellow motor-homers the Wilsons. Then came the usual morning commotion, the queue for the shower and the breakfast rush, then by the time we were ready to leave our friends had decided to explore the countryside without us.

I then realised I had no idea where the keys were so I looked for them, and couldn’t find them. My family then joined in the search and in my usual calm and patient manner I accused each family member of stealing them, then moved on to accusations of half-hearted searching before finally accepting my son’s version of events which was that aliens must have come from mars and stolen the keys to our motorhome. So I then went to the cab to get my mobile so I could call my insurance company for help. I was stranded in a field with a grumpy family and to make matters worse, it was about to rain.

There, sat in the middle of the cab, next to my mobile phone were the keys! I had left the keys to my pride and joy on display in the cab, and I couldn’t help but wonder if the motorhome would be insured if it had been stolen under these circumstances, and so my mind wound its way back to the Insurance Times article.

If my motorhome had been a car the ombudsman would have considered

Location

Was I in a position to deter a thief

Was I recklessly ignoring the risks

Mitigating factors

Whether I knew about the exclusion in the insurance policy

I would like to think that this kind of thinking would have applied to me and my motorhome. If you use an insurance broker there is a much higher chance of finding a comprehensive insurance policy to cover you whatever your situation.

For a leading service in motorhome insurance contact Coversure insurance. They provide motorhome insurance is a cut above the restand you’ll leave with peace of mind that you need when you’re on your holidays. Visit the Uber Article Directory to get a totally unique version of this article for reprint.