M&A Attorney and/or CPA Question

by a searcher from Salisbury University - Franklin P. Perdue School of Business

1 year ago

For a stock purchase- are seller notes allowed? 

Scenario:
$3.6m purchase price
$1.1m seller note at 4% over 48 months
$2.5m paid to seller at closing

Due to the seller note am I automatically required to do an asset purchase?

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13 comments

professional from University of Texas at Austin

I’m a lawyer working in this space and I would love to talk to you!

2 months ago | like reply | 0 likes

professional from New York University

You can do a seller note, just make sure the rate exceeds the AFR.

1 year ago | like reply | 0 likes

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