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Richard - Bizlaw
Richard - Bizlaw, Attorney
Category: Business Law
Satisfied Customers: 9888
Experience:  30 years of corporate, litigation and international law
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What is the best way for 2 entities, one that brings the

Customer Question

What is the best way for 2 entities, one that brings the buyers and the other that brings the sellers and the product, to structure an agency sales agreement with the sellers that protects both parties equally
Submitted: 3 months ago.
Category: Business Law
Expert:  Richard - Bizlaw replied 3 months ago.

Hello, my name is ***** ***** I will try to help you. Please remember I just report or interpret the law, so the outcome may not be what you hoped for.

What you can do is create a joint venture that you each own equally. It can be a partnership operating under a dba or an entity like an LLC. The LLC would enter into the sales agreement with the sellers. In the LLC, you would each describe your duties, determine how income was to be split, deal with issues such as disability or termination of the relationship. Under this arrangement the agreement is with the LLC and payments go to the LLC. You can agree that if there is a termination, you each take the persons or entities you brought as sellers or buyers as the case may be.

If I have answered all your questions, please positively rate my answer as that is how I receive credit. If you have more questions, please let me know. If the answer was especially helpful you can provide a bonus.

Customer: replied 3 months ago.
Can the parties entering into the New LLC be LLC's themselves? Is there any liabilities from either party that can become a liability for the other party?
Expert:  Richard - Bizlaw replied 3 months ago.

The new LLC can have two LLCs as members so that is not a problem. The liabilities of each LLC will solely belong to that LLC, you will not be liable for the other party's debts. The new LLC will be solely liable on the debts it incurs in connection with its business activities.

If I have answered all your questions, please positively rate my answer as that is how I receive credit. If you have more questions, please let me know. If the answer was especially helpful you can provide a bonus.