Legal

Before you consider listing your business for sale, there are some key things you want to make sure are in order.Generally, many of the issues identified during a transaction can be resolved, however, checking everything beforelisting will assist your sale in proceeding far smoother. Below is a list of common things that ought to be considered: Are your letting appointments properly completed and signed? Missing or incorrectly completed letting appointments are not unusual but can be costly. At law, if you do not hold aletting authority properly signed by your owners, you cannot charge that owner any commissions. When the buyer’s accountant reviews the financialRead More →

Unlike other conveyancing transactions, management rights matters have more parties than people realise and can often cause confusion about: It is a pretty important paradigm to understand and one that is often misunderstood, even by experienced advisers. Let’s take a look… 1. Who is who? (a) The Seller This can either be a developer (if buying off the plan) or the owner of a business. Where there is a unit associated with the business, depending on how the agreements are structured, there may be: (b) Selling Agent/Broker This is the licensed real estate agent appointed by the seller to sell their business. There are agentsRead More →

Managers of management rights businesses have lots to do daily, weekly and monthly, not to mention all the additional requirements the past few years has brought about, so it’s easy to see how managers could overlook the key dates in their agreements. We are here to remind you, that it is time to grab your agreements and check all your key date and set some reminders. Key Date 1: Remuneration Reviews Some body corporate managers will automatically review a caretaker’s remuneration at the time stated in the agreement. Other body corporate managers will not. Managers seeking to ensure their remuneration is properly increased in accordanceRead More →

The final matter is the adjustment of the income from the letting business (i.e., letting commissions and other income). These adjustments are usually agreed upon between you and the Seller at the pre-settlement tuition. I do not have access to the books of the business, and as such, they remain your responsibility. As such, I advise you of your legal position as follows: You may wish to adjust each item individually or agree on a general figure based on the estimated monthly income of the business. Your desired method of adjustment is something that should be discussed with and agreed to with the Seller duringRead More →