I want to buy a service business that has no assets. The owner is selling his knowledge and a client base that seems to be reflected in his sole-proprietorship tax returns. How can I be sure his numbers were not fabricated for this sale? Also, what can I use as protection clause in the offer to buy in case once I give him the money, I find out the prospects are not what they were represented to be?
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I would take to a business attorney, which will be able to look over the numbers to make sure they are accurate.
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