At Askews Legal LLP we have extensive experience in advising on the buying and selling of shares. When you purchase shares in a company you are also taking on certain liabilities, including commercial contracts, employees, commercial property, and disputes. Our Company Law Solicitors will carry out extensive due diligence on the company whose shares you plan to purchase and check that the Share Purchase Agreement has the necessary warranties and protections included.
We are a diverse, multi-lingual law firm that uses best-in-class technology to provide clients with streamlined, modern, and highly effective corporate law advice and representation. Our years of experience in company law means we have a robust reputation for excellence with the UK’s best Barristers and Queen’s Counsel, accountants and valuers who will when needed, bring additional support to our Corporate Law Department.
Below are answers to some common FAQs concerning share sales and purchases.
What is a Company Law Solicitor’s role in share acquisitions?
Although every share acquisition matter is unique, most transactions will require a Solicitor to manage the following stages:
- Drafting and managing the pre-contract documents, for example, the Heads of Terms, Confidentiality Agreements, and Exclusivity Agreements.
- Carrying out due diligence on the target company and any subsidiaries.
- Negotiating and drafting the Share Sale Agreement.
- Obtaining any third party consent required for the transaction to proceed.
- Organising the signing of the Share Purchase Agreement and transferring the shares from the seller to the buyer.
- Managing any post-completion steps, for example, paying Stamp Duty and filing the required details with Companies House.
Our Company Law Solicitors will manage every stage of your share acquisition for you, ensuring any problems are quickly spotted and dealt with.
Why is due diligence important when buying shares in a company?
When you purchase shares in a company you are also taking on its liabilities (although these will be limited). You also need to be confident that your investment will generate a return. Due diligence is the process of examining each aspect of the company, including its financial and legal position, its sales funnel, employees, and commercial property to check for any problems and/or anomalies. We take meticulous care when undertaking share purchase due diligence and will uncover anything that may harm your best interests.
What does the Share Sale Agreement contain?
Although there is no legal requirement in England and Wales for an agreement to dispose of and/or acquire shares to be documented in writing, it is standard practice to have a written Share Sale Agreement in situations where the buyer is acquiring the entire share capital of a company.
A Share Sale Agreement will:
- Record the specific terms of the share sale and purchase.
- State if any conditions, for example, shareholder approval, must be met before the transaction can be completed.
- Any warranties and indemnities provided by the seller.
- Any restrictive covenants against the seller starting up a rival company during a specified period and/or within a certain location.
By instructing Askews Legal LLP you can trust that your Share Sales Agreement will be meticulously drafted, with your Solicitor having taken the time to understand your business (if you are the seller) or your commercial ambitions (in relation to purchasing a company’s shares).
Why choose us?
Our Company Law Solicitors have been advising business owners throughout the West Midlands for many years. We are proud of our personal service to all our clients and where possible we are always available by phone and will respond to your email within 24 hours. As a full-service law firm, we can also provide advice on other matters such as commercial property, employment law, and disputes resolution.
Our Solicitors are businesspeople themselves; therefore, we understand that every decision you make must encompass commercial reality. We receive most of our instructions via word of mouth recommendations because company directors and business owners throughout the West Midlands know that we have the knowledge and dedication required to ensure every legal aspect of their share sale and purchase is thoroughly taken care of.
The advice we give is sharp, practical, and bespoke to your commercial objectives. Our agility and investment in technology mean many of our processes are automated, thereby lowering fees and ensuring your investment as our client is primarily directed towards acquiring our expertise, getting solutions to your problems, and putting you in a position to action opportunities.
We are focused on results and achieving them in the swiftest, most cost-effective way possible. Our Company Law Solicitors will take care of your legal concerns so you can concentrate on your organisation’s future growth and prosperity.
Meet your 'Share Sales' specialists
Based in our city centre offices in Coventry, here’s our team to guide you through your legal needs.
Depending upon the complexity we are able to offer fixed fees in some cases. In other cases our solicitors charge the following hourly rate:
- Partner/Member SolicitorHourly rate of £265 + VAT
- Senior Solicitor or Head of Dept: (PQE 8yr+)Hourly rate of £240 + VAT
- Assistant Solicitor/Fee Earner (PQE 3/7yr)Hourly rate of £215 + VAT
- Newly Qualified Fee Earner (PQE 1/3yr)Hourly rate of £185 + VAT
- Paralegals/TraineesHourly rate of £135 + VAT
- Support ParalegalsHourly rate of £115 + VAT