Once you are sure that you have met the requirements set out in your business agreement, all you have to do is make the sale. You can use our free LLC subscription template for the sales contract to document the sale. Your consent may give other members of your LLC the right to refuse, which means that you must offer your interests to members before you can offer it to others. It is important to note that any limited liability company is governed by a “company agreement”. This document sets out the rules under which the LLC is managed and governs the ability of members to buy and sell their shares in LLC. Prior to entering into a memorandum of understanding or sales contract, a seller should carefully review LLC`s business agreement to determine what steps may be required to convene the sale of the business. In some cases, the company agreement may need to be amended with the agreement of the members. Your approval may require the unanimous agreement of members to proceed with a sale or to transfer full membership rights. To sell your LLC, you need to agree on a price with your buyer. You may want to hire a business valuation professional or allow your buyer to check books and records. The terms of sale are set out in a memorandum of understanding or roadmap, perhaps followed by a formal contract and a sales contract.
Submit these documents to the public authority that manages your LLC. An LLC is governed by members and a member`s ownership is transferred when it sells the company`s membership shares through a sales contract. What happens from there depends on whether you own a member`s LLC or part of a multi-member LLC. While you may have a right of recusal with respect to other members if you are part of an LLC with multiple members, you may have stricter rules for the sale in your operating contract. For example, you may need to keep the business at a certain value. If your LLC does not have a business agreement or buy-sell agreement, the laws of your country determine how and whether you can transfer membership interests. You may have the option to negotiate a purchase-sale contract with your buyer or enter into a written agreement on the transfer of ownership. If your state or company agreement does not allow a transfer of ownership, you may need to dissolve the business. Create a draft sales contract between you and the other party that other LLC members are authorized to take your share of the company`s interests..