The Business Listing Agreement serves as the foundational document when a business owner decides to sell their business through a professional broker. This agreement, commonly used across the United States, establishes the exclusive or non-exclusive right to market and sell the business, defines the scope of the broker's services, and sets forth the compensation structure. It includes critical elements such as listing price, duration, confidentiality provisions, and marketing permissions. The document is essential for protecting both parties' interests and ensuring clear understanding of responsibilities throughout the sales process.
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1. Parties: Identification of the business owner/seller and the broker/listing agent
2. Background: Brief context about the business being listed and the purpose of the agreement
3. Definitions: Key terms used throughout the agreement including 'Listing Price', 'Commission', 'Exclusive Right'
4. Scope of Services: Detailed description of broker's services and responsibilities
5. Term and Termination: Duration of the listing agreement and termination conditions
6. Commission Structure: Details of fees, commission rates, and payment terms
7. Confidentiality: Terms regarding handling of sensitive business information
1. Tail Period: Post-termination period where commission may still be due if business is sold to a buyer introduced during the listing period
2. Marketing Authorization: Specific permissions for advertising and promotion, including allowed channels and content restrictions
3. Due Diligence Support: Terms regarding assistance during buyer investigations and information sharing process
1. Business Description Schedule: Detailed description of the business, assets, and operations included in the listing
2. Commission Schedule: Detailed breakdown of commission structures and scenarios for different transaction types
3. Marketing Plan: Specific marketing strategies and activities to be undertaken by the broker
4. Confidential Information Schedule: List of specific confidential information to be protected under the agreement
Relevant legal definitions
Agreement
Broker
Business
Closing
Commission
Confidential Information
Effective Date
Exclusive Right to Sell
Gross Sale Price
Intellectual Property
Listing Period
Listing Price
Marketing Materials
Net Sale Price
Owner
Permitted Disclosures
Prospect
Purchase Agreement
Qualified Buyer
Sale
Seller
Tail Period
Term
Territory
Trade Secrets
Transaction
Broker
Business
Closing
Commission
Confidential Information
Effective Date
Exclusive Right to Sell
Gross Sale Price
Intellectual Property
Listing Period
Listing Price
Marketing Materials
Net Sale Price
Owner
Permitted Disclosures
Prospect
Purchase Agreement
Qualified Buyer
Sale
Seller
Tail Period
Term
Territory
Trade Secrets
Transaction
Clauses
Appointment and Authority
Broker Services
Commission
Confidentiality
Cooperation
Data Protection
Due Diligence
Exclusivity
Expenses
Force Majeure
Governing Law
Indemnification
Information Disclosure
Intellectual Property
Marketing Rights
Non-Circumvention
Payment Terms
Pricing Authority
Record Keeping
Representations and Warranties
Severability
Term and Termination
Territory Rights
Third Party Rights
Waiver
Broker Services
Commission
Confidentiality
Cooperation
Data Protection
Due Diligence
Exclusivity
Expenses
Force Majeure
Governing Law
Indemnification
Information Disclosure
Intellectual Property
Marketing Rights
Non-Circumvention
Payment Terms
Pricing Authority
Record Keeping
Representations and Warranties
Severability
Term and Termination
Territory Rights
Third Party Rights
Waiver
Relevant Industries
Relevant Teams
Relevant Roles
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