What are the rules surrounding the transfer of ownership of a business?

In Arizona, the transfer of ownership of a business is governed by the Uniform Commercial Code (UCC). According to the UCC, the transfer of ownership must be in writing and it must be signed by the transferor, the transferee, and any other necessary parties. Additionally, the purchaser of the business must be given a disclosure statement that outlines the assets and liabilities of the business. The disclosure statement must also include a provision that the purchaser is aware of any state or federal laws that govern the business. The UCC also requires that all debts that the business has must be settled prior to the transfer of ownership. The seller must provide proof that all outstanding debt is paid and the buyer has the right to verify the accuracy of the debt information. If the debt is not paid, the buyer may be held liable. Finally, the transfer of ownership must be registered with the Arizona Secretary of State. The registration process will involve filing certain forms and providing information about the business, the seller, the buyer, and the transfer of ownership. Additionally, the buyer must provide proof of identity and proof of business address. The buyer must also provide proof of ability to carry out the business, such as a business plan or financial projections. Once the transfer has been registered, the buyer will become the owner of the business.

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What are the rules surrounding the transfer of ownership of a business?

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