How do earnouts and contingency payments work? [video]

Posted by James Price | JPAbusiness on 02-Sep-2020 02:00:00

If you are considering selling a business at the larger end of the SME market, with a longevity of orders and forward earnings, it’s important to consider the concept of earnouts and contingency payments, because it will come up from interested parties.

It’s also important to recognise that earnouts as part of the purchase price have capital gains tax implications, so expert advice is essential.

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Topics: Buying a business, Capital gains tax, business advice, selling a business, Business advisor, James Price, seller earnouts, JPAbusiness, Parramatta, contingency payment, Central West NSW, transaction advice, business sale transaction advisor

Disclaimer: The information contained in this blog is general in nature and should not be taken as personal, professional advice. Readers should make their own inquiries and obtain independent, professional advice before making any decisions, taking any action or relying on any information in this blog. 





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