Tips for Maximizing Value

Negotiating purchase price allocation is often one of the most important tax aspects of a business asset sale. The total sale price must be allocated among these most common categories: Cash, Inventory, Equipment and Machinery, Goodwill, Intellectual Property and Real Estate (if included). Business owners should consult with a business broker, mergers and acquisitions advisor and/or their accountant to anticipate these allocations and their impact on the taxes owed from the sale of the business.