When a small business change hands, we make sure it's done right.

Before a seller hands over the keys to the business to a buyer, the sale needs to be completed through the escrow and closing process. Lawyers Escrow USA works with all parties involved in the business transfer as the neutral third party, making sure that all the requirements of the contract are met so that the sale can smoothly close.

Every closing that we do includes a set of core services required to cleanly transfer the business from the seller to the buyer. As part of our comprehensive basic escrow package, Lawyers Escrow USA will do the following:

• Safely hold earnest money in a secure escrow account pending closing.
• Perform UCC-1 lien search and business personal property tax search on the business to ensure that clear title can be conveyed.
• Submit request to State Comptroller for Certificate of No Sales Tax Due.
• Obtain corporate status report from the Secretary of State of all entities involved in the transaction to confirm that the entities exist and are in good standing.
• Obtain written evidence of proper authority for each entity to sign purchase agreement and documents and consummate the transaction.
• Obtain a copy of all real estate leases, and coordinate and confirm the lease assignment with landlord.
• Prepare escrow instructions according to the terms and conditions of the purchase agreement.
• Prepare settlement statements for buyer and seller reflecting all funds being handled through escrow.
• Coordinate the drafting of closing documents with escrow attorney.
• Collect and disburse all closing funds according to escrow instructions.
• Pro-rate and pay for rent, deposits, taxes and other required expenses out of proceeds for the transaction.
• File and record all necessary documents with the appropriate agencies.
• File UCC-1 Financing Statement with Secretary of State when seller financing is involved.
• Coordinate any necessary payoffs and UCC-3 terminations, amendments and/or releases of lien, including up to two payoffs, plus wire transfer or overnight fee for each, to ensure that secured creditors are satisfied.
• Protect buyers with First American EAGLE 9® UCC Insurance Policy for Buyers for total contact purchase price, or $200,000, whichever is less.
• Provide one complete set of all closing documents executed at closing for each party.
• Archive copies of all sale and closing documents for a minimum of five years.

Since we know that every small business transaction is unique, we also offer additional solutions when business tranfers include any of the following terms:

• Motor vehicle title transfers if vehicles are included in the transaction.
• Franchise business coordination if the business is a franchise.
• Real estate services when real property is included in the sale.
• Account servicing when buyers and sellers prefer to have a neutral third party handle servicing on a seller financing note.
• SBA and commerical loan coordination when transactions are funded by third-party loans.
• Stock transfer services if transaction is a stock sale rather than an asset sale.
• Escrow holdback and disbursement accounts when a buyer and seller agree to hold a specific amount of funds back after closing for later disbursement when specified conditions are met.
• Collateral safekeeping services when assets like stock certificates or perhaps a domain name should be held by a neutral third party until the terms of a loan have been met.

To learn more about our business transaction services, or if you are ready to open escrow, call us today at 1-800-520-2269.