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Sale of a Business Package - Colorado 2025

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The document is a legal forms package from U.S. Legal Forms, Inc. designed for the sale of a business in Colorado. It includes essential legal forms such as agreements for sale, asset purchase agreements, bills of sale, and other related documents to assist buyers and sellers in navigating legal issues during the transaction. The package also provides tips for completing the forms and includes a disclaimer regarding the use of the materials.

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How to sell a business in Colorado?

Article 6 of the Colorado Uniform Commercial Code concerning bulk sales was repealed effective July 1, 1991. Therefore, compliance is no longer necessary. Creditors are now essentially left with remedies under the Colorado Uniform Fraudulent Transfers Act discussed above.

What is the commission for selling a business?

Common Fee Structures for Business Brokers in California Brokers typically charge a percentage of the final sale price of your business. The percentage can range from 5% to 10% for smaller businesses (under $2 million in revenue), and it may be lower for larger businesses.

Who pays closing costs when buying a business?

Closing costs are paid ing to the terms of the purchase contract made between the buyer and seller. Usually, the buyer pays for most of the closing costs, but there are instances when the seller may also have to pay some fees at closing.

How are you taxed on the sale of a business?

In California, capital gains are taxed at the same rate as regular income. Any income you earn from the sale of your business will combine with your taxable income to yield your tax rate.

What is a reasonable price to sell a business?

Most small businesses generally sell at 2-3 times their sellers discretionary earnings. ing to NYU Stern, industry subsectors can have different revenue multiples.

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Who pays the fee on a sale of a business?

Common costs and expenses for a seller: Closing Agent/Attorneys Fee is normally split 50/50 with the buyer, but is negotiable typically it can be $1,000-$2,000 per side, but this highly depends on the closing attorney or escrow company (depending on your state) and what they charge.