When you are looking to buy or sell a business, a common area of dispute comes from involving family members. In some cases, some family members will contribute a great deal of work without being paid a single penny at the same time that others may be doing little or no work while receiving large sums of money or services. The first situation calls for reductions in SDC, where as the second calls for an increase, both of which entail somewhat arbitrary assessments.  

Having Mutual Trust for the Buyer/Seller

It is these kinds of adjustments that make it vital that both the buyer and seller be honest and forthright with each other from the beginning, especially when family is involved. If there is trust and mutual respect, these issues are easily addressed. If not, each issue which calls for judgment and/or concessions may become very troublesome.

 

There is no substitute for mutual trust and respect when it comes to concluding the purchase/sale of a business, which requires different agreements within the actual one. With family, this can become complicated if not everyone is on the same page, and there is a lack of respect and understanding.