A buy—sell agreementalso known as a buyout agreement, is a legally binding agreement between co-owners of a business that governs the situation if a co-owner dies or is otherwise forced to leave the business, or chooses to leave the business.

An insured buy—sell agreement triggered buyout is funded with life insurance on the participating owners' lives is often recommended by business-succession specialists and financial planners to ensure that the buy—sell arrangement is well-funded and to guarantee that there will be money when the buy—sell event is triggered.

A buy—sell agreement consists of several legally binding clauses in a business partnership or operating agreement or a separate, freestanding agreement, and controls the following business decisions:.

Buy—sell agreement can be in the form of a cross-purchase plan or a repurchase entity or stock-redemption plan.

For greater neutrality and effectiveness of the buy—sell arrangement, the service of a corporate trustee is recommended. From Wikipedia, the free encyclopedia.

Private equity and venture capital. Buyout Venture Mezzanine Growth Secondaries Equity co-investment.

Buy–sell agreement - Wikipedia

History of private equity and venture capital Early history of private equity Private equity in the s Private equity in the s Private equity in the s. Financial sponsor Management buyout Divisional buyout Buy—sell agreement Leveraged recapitalization Dividend recapitalization.

Angel investor Business incubator Post-money valuation Pre-money valuation Seed money Startup company Venture capital financing Venture debt Venture round. Private equity firms and funds Limited partnership Limited liability company Carried interest Management fee Publicly traded private equity Business Development Company Venture capital trust Private investment in public equity PIPE Pledge fund.

Corporations Institutional investors Pension funds Insurance companies Fund of funds Endowments Foundations Investment banks Merchant banks Commercial banks High-net-worth individuals Family offices Sovereign wealth funds Crowdfunding. Private equity and venture capital impact global recession stock market Private equity firms Venture capital jquery radio button selected value Angel investors Portfolio companies.

Corporate finance and investment banking. Convertible debt Exchangeable debt Mezzanine debt Pari passu Preferred equity Second lien debt Senior debt Senior secured debt Shareholder loan Stock Subordinated debt Warrant.

At-the-market offering Book 5 franco binary options signals review Bookrunner Corporate spin-off Equity carve-out Follow-on offering Greenshoe Reverse Initial public offering Private placement Public offering Rights issue Seasoned equity offering Secondary market offering Underwriting.

Buy side Control premium Demerger Divestment Drag-along right Management due diligence Managerial entrenchment Minority discount Pitch book Pre-emption right Proxy fight Post-merger integration Sell 5 minute binary options signals on iphone Shareholder rights plan Special situation Squeeze out Staggered board of directors Stock swap Super-majority amendment Tag-along right Takeover Reverse Tender offer.

Debt restructuring Buy-sell agreement between stockholders referred to financing Financial sponsor Leveraged buyout Leveraged recapitalization High-yield debt Private equity Project finance. List of investment banks Outline of finance. Retrieved from " https: Articles needing additional references from December All articles needing additional references.

Buy Sell Agreement Shareholders – Free Legal Forms

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Equity offerings At-the-market offering Book building Bookrunner Corporate spin-off Equity carve-out Follow-on offering Greenshoe Reverse Initial public offering Private placement Public offering Rights issue Seasoned equity offering Secondary market offering Underwriting.