What is a buy-sell agreement?

A buy-sell agreement (also known as a business agreement) is a contract between business owners that outlines how the business should be handled in the event of the death, disability, or retirement of a business partner. The agreement guarantees that the remaining partner will take control of the company and the shares of the leaving partner will be sold to the remaining partner or a third party. In the state of Washington, a buy-sell agreement is part of business formation law and can be used to ensure that a business continues to operate smoothly and preserve business assets in the event that one of the owners leaves the business. This type of agreement is essential for any business because it ensures that the partners’ interests are protected. The buy-sell agreement includes information on who will take over the business, how the assets will be divided, and how the departing owner’s share of the company will be paid for. It can also include provisions for tax planning and estate planning. Buy-sell agreements are important for partners in business in Washington to have in place, in order to ensure that the business is well-protected, and that all of the partners’ interests are looked after in the event of the death, disability, or retirement of a partner. Having a buy-sell agreement in place is an important part of business formation law in the state of Washington.

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What is a buy-sell agreement?

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