A due diligence is a necessity, with very minor exceptions.
First of all, the system of purchasing a company in Slovakia is similar to most other legal systems. The most important issue is to clarify, whether the transaction should be carried out as a so-called asset deal or a share deal.
In case of an asset deal, the individual assets of the company, i.e. its movable and immovable assets, are transferred to a buyer. Generally, the documentation for this type of transaction is quite extensive. Also, the purchase price does not go directly to the sellers, but to the company. However, an asset deal eliminates several liability risks.
In case of a share deal, the shares in a company are simply transferred. The company remains existent, only the shareholder(s) change(s).
However, there are several local peculiarities the transaction has to comply with. A lawyer can provide the expert support required to ensure that your transaction deal is successful. A due diligence is a necessity, with very minor exceptions. The due diligence may also help identifying whether an asset deal or a share deal is more favorable for your company. If you want to buy or sell a company in Slovakia, we are ready to provide our legal assistance.