What Happens To My Accounts Receivable When I Sell My Company

//What Happens To My Accounts Receivable When I Sell My Company

What Happens To My Accounts Receivable When I Sell My Company

Considering selling your heating and air business? Worried now may not be a good time because you have quite a bit in accounts receivable you are worried about losing?

 

What happens to your accounts receivable

What happens to your accounts receivable when you sell your business? Great question and the answer is it depends. Most of the time, and I know I can get myself in trouble by saying that, but most of the time you keep them.

Most deals are structured as asset sales, and you keep both the accounts payable, and accounts receivable. We include specific language in the contract at the time of sale that will address who keeps the receivables and how they are paid, that way you are protected.

It is important as you get prepared for a sale to know exactly what your both your accounts receivable and accounts payable are, that allows you to make a more informed decision when an offer is presented. I would strongly suggest if you are not doing so already, to keep a detailed list so as you get ready to close, you have one less thing to track down.

Best of Luck on Your Sale.

By |2018-11-09T15:31:46+00:00November 9th, 2018|Uncategorized|Comments Off on What Happens To My Accounts Receivable When I Sell My Company

About the Author:

Patrick has been a serial entrepreneur his entire life. He has not only helped others buy and sell businesses with great success, but he has done it himself with his own businesses as well. He specializes in helping those who are looking to buy or sell heating and air and plumbing companies.