Part 1 of 4 – Thinking of selling your business? Read this alert from our partner Haynes and Boone, LLC:

Tax Rates are Rising! This alert highlights the imminent changes to the tax laws in 2011 (e.g., the sunset of the Bush era tax cuts) and the changes that will arise in later tax years (e.g., tax provisions contained in certain parts of the recently enacted health care legislation) that may affect a decision to sell your business this year. When business owners contemplate the sale of their business, typical initial questions include where to start, what types of activities are required, and how to negotiate the sale process.

This client alert is the first in a series of four. This first alert explores various tax issues that will drive some business owners to sell their businesses in 2010 as opposed to selling in later years. The remaining three alerts describe many of the steps a business owner should consider to prepare his or her business for sale. These include the sale process, the evaluation of a purchase offer, the importance of a confidentiality agreement, the role of a letter of intent, structuring a transaction, and the sale documents that “close” a transaction. Because every transaction is different, the general principles provided in these alerts must be adapted for your particular business and industry.

To read the full alert, please visit the Publications section of our website.