In this weeks episode, Eric and John break down the fundamentals of Asset Purchase Agreements (APA). The basics: What is it, who signs it, and what are you selling.
- What is an APA, how is different than equity
- Why APA over equity
- Exceptions
- Structure/format of an APA/length
- How to review, where to start?
- The Parties
- Individual liability – how does this work
- Who is the buyer – subsidiary? Who is paying you on deferred payments
- The Assets
- What are you selling,
- Online accounts
- Inventory
- IP
- Data/records
- Domains
- Social media
- Causes of action
- Contracts
- Goodwill
- What are you not selling
- Cash
- Money in amazon account
- Certain contracts
- Corporate records
- anything specific
- What are you selling,
Parting Shot of Truth
- Getting settlements done – don’t change the terms mid-stream, it kills momentum and credibility