VENDOR TAKE-BACK FINANCING LAWYER
For transaction financing - legal matters, contact our law firm at 403-400-4092 / 905-616-8864 or Chris@NeufeldLegal.com
Transactions : Acquisitions - Vendor-Take-Back - Corporate Buy-Out - Equipment Financing
Vendor take-back (VTB) financing arises where a corporate transaction involving the purchase/sale of a business does not have the full purchase price paid upon closing, but is 'financed' in part by the vendor to facilitate the completion of the transaction, with the remainder of the purchase price payable at a later date.
Given the valuation of the business and the purchase price that is sought by the vendor, vendor take-bank financing can be an effective means to overcome the financial demands on the purchaser, especially where there are impediments to attaining external financing, including third party resistance to commercial transactions they don't properly understand or recognize its commercial potential. Nevertheless, this also demands appropriate legal protections being worked into the VTB to provide securitization for the vendor of the business.
When your business is undertaking corporate transactions, which invariably require financing and in turn knowledgeable legal representation, contact our law firm to schedule a confidential consultation at 403-400-4092 [Alberta]; 905-616-8864 [Ontario]; or Chris@NeufeldLegal.com.
IMPORTANT NOTE: This website is designed for general informational purposes. The site is not designed to answer specific questions about your individual situation or entitlement. Do not rely upon the information provided on this website as legal advice in respect of your individual situation nor use it as substitute for individual legal advice. If you want specific legal advice, you need to engage a lawyer under established legal engagement procedures that have been specifically agreed to by that lawyer.