Purchase Price Allocation for Tax Purposes

Purchase Price Allocation for Tax Purposes

by | Apr 20, 2021 | Insights

When purchasing a business in an asset deal, the consideration is often expressed as a lump sum.  However, in order to determine the tax basis of the individual assets comprising the business, a purchase price allocation would be necessary.  The buyer would need to...
Reverse Triangular Merger: The Taxable and Tax-Free Version

Reverse Triangular Merger: The Taxable and Tax-Free Version

by | Apr 16, 2021 | Insights

This article will introduce the two variations of the reverse triangular merger: the taxable version (commonly reversed to as the reverse triangular cash merger) and the tax-free version.  We will also discuss the tax considerations that accompany these two types of...
Asset Sale vs Stock Sale – A Comparison Between The Two

Asset Sale vs Stock Sale – A Comparison Between The Two

by | Apr 15, 2021 | Insights

This article will discuss two different types of acquisitions: asset sale vs stock sale. Perhaps your company is in talks with another company who is looking to buy or sell. How should your company approach the sale? The answer is: it depends on your goals as a buyer...
To Do or Not to Do: Profits Interests or Options?

To Do or Not to Do: Profits Interests or Options?

by | Apr 14, 2021 | Insights

              Granting employees equity interests helps keep employees and key executives invested—both financially and emotionally—in the business, thereby incentivizing employees and encouraging employee retention. For startups and small businesses that are low on...