Asset Sale

March 12, 2019

What an Asset Sale Involves

The Asset Sale In an asset sale, you are selling the different assets that the business owns. Assets may be: tangible, such as land, buildings, equipment, cash, investments, and inventory, intangible, such as the goodwill your business has built up during the years of its operation, customer lists,¬†patents, copyrights, and¬†trademarks. If your business is not incorporated¬†(e.g., a sole proprietorship or partnership), an asset sale is the only selling option since there are no share certificates of ownership to transfer in a sale. To come up with a selling price for the business, the different assets of the business are individually appraised. How do you know, for instance, that your business’s goodwill is worth $20,000? And even if you think so, […]