Seller Financing and other tax planning strategies used for Business Sale

The Podcast explains seller financing, a method where a business seller provides a loan to the buyer to facilitate the purchase. 

This arrangement involves contracts like a purchase agreement and promissory note, and it presents advantages and disadvantages for both parties, including the potential for faster closing and risks of default. 

The podcast also compares seller financing to traditional business acquisition loans from financial institutions, noting differences in relationship dynamics and qualification criteria. 

It outlines alternative ways to finance a business purchase and highlights when buyers and sellers might consider seller financing a viable option.

Finally, it also discusses other tax planning strategies and clarifies that a qualified tax advisor should be used for customized guidance.