Chicago Business Acquisition Attorney
Burr Ridge Business Acquisition Lawyer
Smooth transactions. Safe investments. The best deal.
M&A Attorney for Oak Brook Small Business Acquisitions
Mergers and acquisitions are significant growth opportunities that require acute attention from its initial negotiation to closing. Buying or selling a business, regardless of the size of the company, is a complex process that demands following specific procedures to be a worthy investment. If you are looking to simplify your business purchase or sale, you’ve come to the right law firm. At Motiva Business Law, we will handle your business transaction so you can benefit from a smooth and agile transition.
We will help you draft a letter of intent, conduct due diligence, and handle the purchase agreements and legal documents that are essential to protect your investment.
With more than 12 years of experience in M&A law, our acquisition lawyers counsel Chicago business owners on a wide range of business transactions for businesses of all sizes, such as buyouts, mergers, spinoffs, joint ventures, strategic alliances, takeovers, and cross-border transactions. We handle matters from a variety of industries, including technology, hospitality, manufacturing, construction, business services, and transportation.
Legal Assistance Throughout the Transaction
Having a seamless and successful business transition requires contemplating multiple legal, financial, and tax implications. Only an experienced business acquisition lawyer is capable of structuring your M&A deal in a way that your business objectives are aligned with the purchase and all risks associated with the purchase are correctly addressed.
Our M&A attorneys advise both the buy and sell sides of a business transaction to ensure they are making the decisions that work in their best interest. We guide business owners in Burr Ridge, Oak Brook, Chicago, and throughout Illinois during the whole M&A process. From creating a strategic framework, drafting the letter of intent, conducting due diligence, drafting contracts, and closing the deal, we take close attention to each phase of the transaction.
- Deal Structuring: Our Mergers and Acquisitions attorneys will devise a strategy to conduct the transaction, adapt the framework to your convenience and business objectives, and coordinate the team of business brokers, financial advisors, or other agents that will assist in the M&A deal. We will also work alongside your accountant to ensure you obtain the best tax advantages.
- Letter of Intent: Although some disregard the importance of LOIs, they are essential for a business purchase, for they are the backbone of the deal. From the very beginning, we will ensure the structure of the deal is beneficial for you.
- Due Diligence: The hardest part of a business acquisition is ensuring that the business you want to buy is going to be profitable. By conducting due diligence, we make an in-depth inspection of the target company and look for any risks associated with your purchase. With a business valuation, we’ll verify you are making a fair investment. Our business lawyers will ensure you only move forward with the negotiation once you actually know what you are buying and the implications of the transaction.
- Contracts: We draft, review, or negotiate any contracts that are required to safeguard your investment. From confidentiality agreements to, employment contracts, or the purchase agreement, we will add the exact provisions that will mitigate potential risks or financial impact after the acquisition. If necessary, we will negotiate escrows or earnout agreements that will ease the closing process.
- Corporate governance: We handle the necessary arrangements to restructure the new business entity and address the required procedures to determine the rights and responsibilities of the board of directors, owners, and shareholders of the organization.
M&A Legal Services in Burr Ridge and the Chicago Area
There are many risks associated with buying, selling a business, or getting involved in a strategic alliance with another company. The M&A cycle can be overwhelming and sometimes too much to handle. That is why our lawyers carefully address every detail of the business acquisition:
Smooth Mergers and Acquisitions
With our business purchase attorneys, you will only have to focus on getting the benefits of your deal.
Meet our acquisition attorney Danya Shakfeh
For 9 consecutive years, Danya has received the Rising Star badge from Super Lawyers, due to her excellence in her legal services.
More than 12 years of experience with business acquisitions
Our M&A attorney will guide you throughout the transaction. She is a thorough lawyer that will address every detail of the business purchase so you can get the best deal and be free from concerns.
Why Choose Us?
Fixed Fee M&A Law Services For most of our business acquisition services, we will charge a fixed fee. Before you hire our lawyer, we will inform you of the services we'll cover and their cost, so you know exactly how much you will spend.
We are responsive attorneys Whether you plan to purchase a small business or a corporation, we respect your time. We are constantly in touch with you to keep you updated on your business transaction and to address any concerns.
Our strategic business contracts We do not just write contracts, we devise strategic plans that work specifically for your merger or acquisition. Our services are founded on the synergy of your personal and professional goals so we always prioritize your needs.
Long-term results Our legal services are designed to produce endurable results that foresee any issues or liabilities associated to your business acquisition.
How our Due Diligence and M&A Services work
Mergers and Acquisitions FAQs
How do I buy or sell a business?
Basically, a business sale or purchase can be summarized into 4 steps:
Initial discussions: Consists of an informal offer. Both the business owner and the acquisitor discuss broadly the overall state of the business, a tentative price, what is going to be included in the deal, and other details.
Letter of intent: Once both parties agree to the transaction, they sign the LOI, which is a non-binding offer that outlines the terms of the purchase. It usually includes a tentative purchase price, a confidentiality clause, whether it will be a stock or asset sale, and other terms that will be the foundation of the deal.
Due diligence: The buyer asks for a list of documents to examine the legal, financial, and operational state of the business, which will be uploaded to the data room. In this phase, the buy side gathers all the possible information to verify the claims of the performance of the company are veracious and to assess any underlying risks.
Purchase agreement and closing: Based on the findings of the due diligence process, the lawyer will determine whether the price of the business is fair, and draft a purchase agreement that includes it, along with provisions that will reduce the liability of the client.
How long does it take to buy a business?
The time it takes to buy or sell a business depends on multiple factors, such as
- The responsiveness of both parties
- Business size
- Negotiation process
In the best cases, a small business acquisition will take from three to six months, while for more complex deals, this process can take from six months to a year.
What is my best choice, a stock or an asset deal?
In an asset sale, the buyer is able to purchase tangible assets, such as real estate equipment, fixtures, and inventory, or intangible assets, such as intellectual property, like trademarks, licenses, and databases.
On the other hand, in a stock sale, the buyer purchases everything owned by the company, which can include unknown liabilities.
Usually, buyers will prefer to structure their business acquisition as an asset sale and sellers as a stock sale. The reason behind this rationale is that buyers can claim more tax-write offers and reduce their liabilities by opting for an asset sale. However, sellers will rather have a stock sale, also for tax-saving purposes.
Although most small business acquisitions or deals under $50 million are structured as an asset sale, this decision will depend on the specific circumstances of the target business and the objectives of the buyer.
Is a letter of intent legally binding?
A letter of intent is not an enforceable contract. However, to ensure a smooth business purchase, both parties need to abide by the terms agreed in the LOI because this will create an environment of trust and facilitate the negotiation process.
People usually do not give the proper importance to letters of intent, but the fact is that even when not legally binding, LOIs outline the most important terms of the deal and are the foundation of a successful business acquisition.
What is due diligence?
Due diligence is the process in which a prospective buyer audits a company before fully entering a business transaction. During the due diligence process, the buy side will gather and verify relevant information about the target business and examine its financial performance, contracts, equipment, customers, and operational status.
Some of the areas that are subject to a thorough examination during due diligence are;
- Customer, sales, and marketing
- Human resources
After an M&A lawyer has conducted due diligence, understood the true value of the business and the risks implied, she will have the basis to create a purchase agreement that includes a fair price and addresses all the potential liabilities that were found during the inspection.
What are the risks of M&A?
There are some risks implied in a business transaction, such as:
- Inheriting debts, lawsuits, and other liabilities
- Buying a business at a higher price than its true value
- Acquiring a company that has few possibilities of being profitable
- Selling your business to a buyer who will not be able to pay
- Not addressing correctly the use of intellectual property
- Not paying the proper amount of tax
- Breaching data privacy laws
However, with the help of an M&A attorney, all these risks will be properly addressed so you ensure you are buying a business at the minimum risk and at the right price.
What kind of businesses does the law firm serve?
Motiva Business Law serves clients from all industries. This includes (but is not limited to):
● Restaurants and hospitality businesses
In what area does the law firm serve?
Motiva Business Law serves clients from all industries. This includes (but is not limited to):
● Oak Brook
● DuPage County
● Cook County
● Will County
● Oak Park
● Burr Ridge
● Downers Grove
● Villa Park
● Elk Grove Village