Selling your business

Key documents for closing

A summary of the key documents required to complete your business sale.

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The sale of a business is a complicated legal process, and we suggest our clients to access professional legal advice for the preparation of the closing documents.This is an overview of the main documents required:

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  • A Sale and Purchase Agreement (or ‘SPA’). This is really the key document and includes the terms of the agreement and is often supported by important schedules. These attachments usually cover the target company and its subsidiaries as well as warranties and indemnities provided by the buyer.
  • A disclosure letter to qualify the warranties. This will be produced by the seller and used to highlight any known discrepancies from the warranties provided. Items disclosed in this way protect the seller from the buyer taking legal action where the warranties are not accurate.

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  • A tax deed, often used to ensure that the seller pays for the tax liabilities of the business at the point the transaction closes. This document is also sometimes included in the SPA.

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  • Preparation of the board minutes, documents required for the change of directors, auditors, and the registered office as well as the approval of share transfers at closing.

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  • A stock transfer form, used to transfer shares.
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Testimonials

Arun K.
@pyxisconcerto
Jewellery business, Founder

Ithaca was able to provide hands-on support to put together a financing plan in very little time.

Through the platform, we were connected to a handful of freelancers based on their affinity for our business model and their backgrounds (it was great to see all had blue-chip financial institutions backgrounds).

Our specialist was pragmatic and results-oriented – she understood our business inside out and was able to deliver with minimal oversight.

The app was user-friendly, intuitive and real added value, as it helped us navigate all the steps of the project, from matching and outline, to delivery, to payment and completion.

June 2022
Tomás L.
@pyxisconcerto
Hardware technology company, Founder

We wanted to update our internal operating model and perform a valuation analysis on our business.

Our specialist did a great job of pinning down the key drivers of our company and remodelling projections using a more realistic, simpler framework.

The valuation analysis was extremely detailed and touched on all the key valuation methodologies.

It is not our first time using freelancers or freelance platforms in the past, but the end-to-end focus on project delivery made Ithaca a fundamentally different, superior experience.

July 2022