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DO I NEED A SOLE TRADER TO LIMITED COMPANY BUSINESS TRANSFER AGREEMENT?

A business transfer agreement is essential if you are incorporating and transferring your business from your personal ownership to that of a company.

The business, its assets and its liabilities will not transfer without an agreement to do so.

The business transfer agreement should provide clarity and certainty on:

  • what assets are being transferred;
  • what the consideration will be; and
  • how it will be paid.

There are often tax advantages to incorporating your business but you should seek advice from your tax advisers on whether the advantages outweigh any cost.

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