All current contracts you have for your individual business can be transferred to the new owner if they wish to assume this responsibility. This is a fairly simple and simple step, as you can simply point out to the other party that a new owner takes over the individual business and takes over the contract. The only question that could arise is that of these contracts with clauses preventing the transfer of the contract, unless that party agrees. In practical terms, an individual company is only an alter ego of the entrepreneur. If z.B. the individual company enters into contracts with business sellers, financial institutions, etc., it will effectively be the owner who signs the contract and the company itself will not participate in the transaction. Owners can do business under their own name or create a DBA (doing business as) under a single name. Regardless of that, if the seller has a DBA that the buyer wants to use, you should contact someone at the district agent`s office in the state where you work to find out how you can transfer the DBA. It can be easy to fill out a single form indicating that you agree to sell the DBA name to the buyer. Because an individual business is the owner of the business, you cannot transfer an individual company to another person. All legal obligations and debts you have incurred throughout the activity are retained and cannot be transferred to another person. However, they are able to sell the company`s assets and transfer them to a new owner. These may be tangible assets, intangible assets or both.
But before the new owner can acquire these assets, they must first set up their own unique business structure. It may be an individual business of its own business or another type of entity, such as a limited liability company. Once they have created their own business structure, the asset sale transaction can begin. There is no formal request for a document to transfer the name of the holder in the name of another person, but if you want to register it, then it can do so without legal problems.