Buy-sell Offer

Buy-sell Offer

Concept of Buy-sell Offer in the context of Real Property

A short definition of Buy-sell Offer: An offer by one owner of a business or real estate to buy out the interest of another owner of the same business or real estate (a partner or other shareholder), or to sell the offeror’s interest at the same price or proportionate price if unequal ownership. Example: A and B each own a 1/2 interest in lot 1. A offers to buy B’s interest for $10,000, or to sell A’s interest to B for $10,000. Theoretically, very fair, since B has the option to buy or sell. However, B’s interest may be worth $12,000, but B is financially unable to buy A’s interest (also worth $12,000).

Concept of Buy-sell Offer in the context of Real Property

A short definition of Buy-sell Offer: An offer by one owner of a business or real estate to buy out the interest of another owner of the same business or real estate (a partner or other shareholder), or to sell the offeror’s interest at the same price or proportionate price if unequal ownership. Example: A and B each own a 1/2 interest in lot 1. A offers to buy B’s interest for $10,000, or to sell A’s interest to B for $10,000. Theoretically, very fair, since B has the option to buy or sell. However, B’s interest may be worth $12,000, but B is financially unable to buy A’s interest (also worth $12,000).


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