Selling a business in Alberta could be a complicated process with several matters to consider. As with other real estate dealings, the support and guidance of legal counsel can ensure that nothing is left unattended. When a business is closed, tax-related matters to address will include contacting the tax services office to cancel the business number and close the GST/HST account. The payroll account must also be closed if the business had employees.
Selling a business could include the sale of company assets as part of conveying ownership. Assets could include equipment, inventory and accounts receivable, among others. An asset sale could be advantageous because the Canada Revenue Agency allows assets to be written off based on the depreciation formula. Tax advantages are possible through bargaining the asset price.
Another option is to sell shares in the company, which will involve the transfer of the business name along with the sale of the assets. Also, such a transaction includes selling business liabilities, lawsuits, debts and tax problems if any exist. For those who need to make a fast sale due to business problems, this type of sale might be a suitable option.
It is not uncommon for business owners in Alberta to have many questions about the legal proceedings that form part of any real estate sale. Answers can be obtained by consulting with an experienced lawyer who can also provide valuable advocacy throughout every step of the way. Legal counsel with experience and knowledge in all aspects of commercial real estate laws can assist throughout the ensuing administrative and legal proceedings.
