Corporate Transaction Lawyer Irvine, CA
You know your business best, which is why our Irvine, CA corporate transaction lawyer strives to get to know who you are first. It’s crucial that we understand the types of goals and plans you have before assisting with any legal matter, so that we can ensure you and your business are protected.
Our team at Focus Law LA has been supporting clients in business litigation for over 25 years. This has proved to be indispensable in recognizing ways to minimize risk for businesses while still prioritizing growth. We’ve seen what works and what doesn’t.
What Makes Our Corporate Transaction Lawyer Valuable
Seeking advice from a professional will typically increase the likelihood of success in many situations. Considering the intricacies of the legal relationships between officers, investors, corporations, and shareholders, it’s ideal that you feel confident in your approach to any corporate transaction.
As part of a proud, client-centered firm, our Irvine corporate transaction lawyer aims to help you recognize the potential legal repercussions of handling certain business transactions. Being able to recognize patterns when something doesn’t feel right can prove to be indispensable when preventing legal issues further down the line.
Types Of Corporate Transactions That Occur
Understanding the types of risks associated with the variety of corporate transactions can give you a headstart in avoiding business litigation. Not every deal is high-risk, but every deal does pose some risk. Below are several types of corporate transactions and their associated risk:
- Divestitures. If a company disposes some or all of their operations or assets through exchange, closure, sale, or bankruptcy, this is considered a divestiture. These are considered high-risk as they pose the chance of leaking sensitive data, affecting customer relationships, and asset separation challenges.
- Asset Purchase. When a buyer purchases assets from a company through an asset purchase agreement, they only take on the risks of the assets they bought, and the seller is able to remain the owner of the company legally. Since a buyer is selective in which assets they buy, this is generally considered a low-risk transaction.
- Joint Venture. All aspects of a business are shared in a joint venture: risks, returns, ownership, and governance. Though these are considered high-risk due to potential conflicts among partners arising at some point, they do offer an advantage in that they provide access to new markets, can lead to overall cost reductions, and employ a sense of shared risk.
- Acquisition. If a company buys a majority stake in a company, or purchases the company’s assets right off the bat, this is considered an acquisition. Though this can result from both parties agreeing on this outcome, there are times where a company can acquire another company without agreement, considered a “takeover.” An acquisition is a high-risk transaction as it can create tensions between company cultures and present unforeseen financial problems.
With the appropriate discernment, you can make decisions for your business that will create the opportunity for growth without exposing yourself to higher risk than you intended. Through collaboration with our Irvine corporate transaction lawyer, the appropriate balance between risk and reward can be achieved.
If you would like to set up a consultation with one of our attorneys at Focus Law LA, please reach out today.
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