Starting a business is a huge decision. If business has been good to you, you may be thinking about acquiring another existing one. Before moving forward, you must first decide whether you are going to choose to purchase the business's stock or its assets. While this decision is best made with the help of an attorney, it wouldn't hurt for you to understand the pros and cons of both types of acquisition.
If you choose to purchase a business through a buyout of its assets, you can purchase its facility, equipment, inventory and vehicles. Aside from being a fairly complex process, acquisition through asset purchase is a pretty common practice. You may also choose to acquire a business by simply purchasing the selling company's stock. However, this would not apply to the purchase of a sole proprietorship, partnership or LLC.