<p>After 2 ½ years of looking for a software business to buy with my partner, I think we’re finally getting towards the end! And at the end of the due diligence process when you’re going to buy a company… you’ve got to sign a purchase agreement. This purchase agreement is the<strong> </strong>big contract; it’s the document that lays out all the final terms and conditions. And when it’s signed, the money is wired — and it’s official: you own the company.</p><br><p>So because this is all so timely for us, today we’re going to be talking all about purchase agreements! In fact, we’ll be going through the actual 57-page document I received for this software business to explain each section to give you all an idea of what to expect when it comes to negotiating your first purchase and sale agreement!</p><br><p><strong>Key Takeaways:</strong></p><p>[:11] About today’s episode on purchase agreements!</p><p>[2:22] We begin looking at the 57-page purchase agreement word doc, starting with an overview of the table of contents and section 1, the glossary.</p><p>[5:09] Reviewing section 2: the purchase and sale of parent shares.</p><p>[9:40] Reviewing the following three sections that cover representations and warranties — first up, those concerning the company.</p><p>[16:30] Next up, we take a look at the sections covering representations and warranties of the sellers.</p><p>[17:55] Taking a look at the representations and warranties concerning the buyer.</p><p>[18:58] Reviewing the section that covers the additional agreements.</p><p>[19:52] Checking out section 7: identification and related matters.</p><p>[23:03] Wrapping up the podcast with some final points about purchase and sale agreements!</p><p>[24:54] What should you be focusing on when negotiating these documents?</p><p>[28:14] Thanks for tuning in!</p><br><p><strong>Mentioned in this Episode:</strong></p><p><a href="https://www.divestopedia.com/definition/4580/purchase-and-sale-agreement-psa" target="_blank">Purchase and Sale Agreement</a></p><br><p><strong>For More on <em>The Alternative Investor, </em>Check Out:</strong></p><p><a href="https://thealternativeinvestorshow.com/" target="_blank">TheAlternativeInvestorShow.com</a></p><p><a href="https://itunes.apple.com/us/podcast/the-alternative-investor/id1374027962?mt=2" target="_blank"><em>The Alternative Investor </em>on iTunes</a> — Leave us a review!</p><br><p><br></p><br /><hr><p style='color:grey; font-size:0.75em;'> Hosted on Acast. See <a style='color:grey;' target='_blank' rel='noopener noreferrer' href='https://acast.com/privacy'>acast.com/privacy</a> for more information.</p>
![<p>After 2 ½ years of looking for a software business to buy with my partner, I think we’re finally getting towards the end! And at the end of the due diligence process when you’re going to buy a company… you’ve got to sign a purchase agreement. This purchase agreement is the<strong> </strong>big contract; it’s the document that lays out all the final terms and conditions. And when it’s signed, the money is wired — and it’s official: you own the company.</p><br><p>So because this is all so timely for us, today we’re going to be talking all about purchase agreements! In fact, we’ll be going through the actual 57-page document I received for this software business to explain each section to give you all an idea of what to expect when it comes to negotiating your first purchase and sale agreement!</p><br><p><strong>Key Takeaways:</strong></p><p>[:11] About today’s episode on purchase agreements!</p><p>[2:22] We begin looking at the 57-page purchase agreement word doc, starting with an overview of the table of contents and section 1, the glossary.</p><p>[5:09] Reviewing section 2: the purchase and sale of parent shares.</p><p>[9:40] Reviewing the following three sections that cover representations and warranties — first up, those concerning the company.</p><p>[16:30] Next up, we take a look at the sections covering representations and warranties of the sellers.</p><p>[17:55] Taking a look at the representations and warranties concerning the buyer.</p><p>[18:58] Reviewing the section that covers the additional agreements.</p><p>[19:52] Checking out section 7: identification and related matters.</p><p>[23:03] Wrapping up the podcast with some final points about purchase and sale agreements!</p><p>[24:54] What should you be focusing on when negotiating these documents?</p><p>[28:14] Thanks for tuning in!</p><br><p><strong>Mentioned in this Episode:</strong></p><p><a href="https://www.divestopedia.com/definition/4580/purchase-and-sale-agreement-psa" target="_blank">Purchase and Sale Agreement</a></p><br><p><strong>For More on <em>The Alternative Investor, </em>Check Out:</strong></p><p><a href="https://thealternativeinvestorshow.com/" target="_blank">TheAlternativeInvestorShow.com</a></p><p><a href="https://itunes.apple.com/us/podcast/the-alternative-investor/id1374027962?mt=2" target="_blank"><em>The Alternative Investor </em>on iTunes</a> — Leave us a review!</p><br><p><br></p><br /><hr><p style='color:grey; font-size:0.75em;'> Hosted on Acast. See <a style='color:grey;' target='_blank' rel='noopener noreferrer' href='https://acast.com/privacy'>acast.com/privacy</a> for more information.</p>](https://us-central1-podcastguru-217d6.cloudfunctions.net/gcf_get_image?image_url=https://assets.pippa.io/shows/5aad9a49e932f49b6bf95c66/1523323421399-df40f8cfc1a0b2e14841325f56b1cc38.jpeg&width=300&height=300&api_key=xqFmUFX5BHLBTA)