How To Merge Utah Businesses
With many businesses looking to make the right move that will positively impact the company, there are several options that they can consider. One of those is a business merger that entails merging companies into one unit.
It is not as simple as it may sound since there are many legal considerations to keep in mind during this process. You must go through this process with adequate legal guidance found with a Provo attorney at Howard Lewis & Petersen.
The merging companies process includes filing the legal articles where one of the businesses will assume the other in the process. It can take several steps and weeks to complete as long as all the required steps are met throughout the process.
If one of the steps is missed or not completed appropriately, you could be forced to restart the process and prolong the merge. It can cost businesses lots of money you could have avoided with a Provo attorney.
How to Merge A Business
Below are the required steps to take before merging businesses in Utah:
- File the articles of the corporation
- Bylaws and Officer Meeting
- Identify the New Name of the Company
1. File the Articles of Corporation
During this step, the officers in the business absorbing the other will initiate documentation showcasing that one business has purchased another. The new name must be listed in the documentation since it is new and not the same as the previous business.
The contact information for officers involved in this process should also be listed; the registered agent for the company and the value of the shares associated with the business merger.
Through this process, your business attorney can help you properly identify the business in its new state and ensure that you have all the required information. It includes contact information, lists, and information surrounding the number of shares and how much each is valued.
2. Bylaws and Officer Meeting
Once it is decided that a business merger is happening, a meeting must be held between the two business officers to decide on bylaws for the new corporation. During this meeting, a business lawyer can help decipher what can or cannot be listed in bylaws and assist with assigning daily operations for legal purposes.
3. Identify the Company
When merging companies, there is usually some name change that includes the business absorbed for some level of recognition. It would be Corporation, Incorporated, or Company.
In this step, all companies being merged will be listed, and the terms and conditions of the merger will be applied. Should there be amendments to the articles of corporation, that happens at this stage.
In many cases, this is necessary to make amendments. However, filing amendments without a lawyer can be tricky. It is important to use the guidance of a business lawyer to ensure you meet all requirements that the state of Utah requires for merging businesses.
Conclusion
If you have been considering a business merger in Utah but are unsure where to start, our business lawyers at Howard Lewis & Petersen team are here to assist you with your legal needs.
Contact us today for a consultation regarding your business merger, and let us help guide you efficiently through this tedious process so that it doesn’t take too long and goes smoothly for the business. We look forward to speaking with you soon.
