This is a protection for any potential buyer to be informed of any unpaid tax liabilities, penalties or bankruptcies known to the seller. Any qualified entities, shareholders, or beneficiaries entering into a voluntary disclosure agreement must fully disclose all facts. The participants must complete an application form FTB 4925.
You had been saving and had a large capital set aside. Due to your high credit score, not have any bills, your personal banker had already highly encouraged you about this coming day and the loan the two of your discussed. That evening your banker calls to discuss the disclosure statement; what disclosure statement you ask?
A disclosure statement is a document that contains everything there is to know about the business opportunity and the seller's company. It includes the seller's financial strength and what you are going to be required to pay. Oh yes, it should also show any hidden fees or prior problems.
This is why if you are the buyer you should pay especially close attention to the FTC disclosure statement and demand one, or move one. Every prospective buyer of a business opportunity must receive the FTC disclosure statement at least 10 business days before signing a binding contract.
Not all states are the same in their legal requirements for the disclosure agreement. In 26 states, they have legal requirements for disclosure statements and registration. Some states do not require a full registration, but do require a disclosure that follows a specific format.
If you choose to meet face-to-face with the seller or a representative to discuss a proposed sale or purchase of the business opportunity, know your rights. If the conversation results in a serious sales presentation, the seller must provide you with the disclosure at that time. If not, once again make no agreement.
If you find yourself in such a situation described as above, the seller or representative are violating the state law and perhaps the federal law. Demand to see an opinion letter from counsel before dealing with them any further. If they tell you they are exempt, be even more suspicious of the entire situation.
Financial statements of the company are required in every state and are an audited financial statement prepared by a CPA or loan representative. There is usually a letter from the accountant indicating that the books have been thoroughly audited and are available for study. Any estimates or projections of earning would have to be part of the disclosure statement. - 15359
You had been saving and had a large capital set aside. Due to your high credit score, not have any bills, your personal banker had already highly encouraged you about this coming day and the loan the two of your discussed. That evening your banker calls to discuss the disclosure statement; what disclosure statement you ask?
A disclosure statement is a document that contains everything there is to know about the business opportunity and the seller's company. It includes the seller's financial strength and what you are going to be required to pay. Oh yes, it should also show any hidden fees or prior problems.
This is why if you are the buyer you should pay especially close attention to the FTC disclosure statement and demand one, or move one. Every prospective buyer of a business opportunity must receive the FTC disclosure statement at least 10 business days before signing a binding contract.
Not all states are the same in their legal requirements for the disclosure agreement. In 26 states, they have legal requirements for disclosure statements and registration. Some states do not require a full registration, but do require a disclosure that follows a specific format.
If you choose to meet face-to-face with the seller or a representative to discuss a proposed sale or purchase of the business opportunity, know your rights. If the conversation results in a serious sales presentation, the seller must provide you with the disclosure at that time. If not, once again make no agreement.
If you find yourself in such a situation described as above, the seller or representative are violating the state law and perhaps the federal law. Demand to see an opinion letter from counsel before dealing with them any further. If they tell you they are exempt, be even more suspicious of the entire situation.
Financial statements of the company are required in every state and are an audited financial statement prepared by a CPA or loan representative. There is usually a letter from the accountant indicating that the books have been thoroughly audited and are available for study. Any estimates or projections of earning would have to be part of the disclosure statement. - 15359
About the Author:
Myles Krueger is a solid resource at helping students, readers, and owners find home work business opportunities that make profit. He also is talented at locating a work at home business opportunity that fits your mindset.
