KIBOMREALTOR.COM
  • Home
  • NEW LISTINGS
  • Business
    • Sell Your Business
    • Subscribe to New Business Listings
    • Automotive
      • Auto Repair (Rowland Heights)
      • Norwalk Express Car wash w/ property
      • Car Wash W/ Property (Yucaipa)
      • Auto Body (Simi Valley)
      • Auto Dealer (Santa Ana)
      • Auto & Truck Body Shop (Norwalk)
      • Auto Body (Baldwin Park)
      • Auto Service (Riverside)
      • Auto Shop (El Monte)
      • Auto Repair & Services (Rancho Palos Verdes)
    • Beauty & Personal Care
      • Nail Salons
        • Nail Salon (San Diego)
        • Nail Salon (Lakeside)
        • Nail Salon (La Jolla)
        • Nail Salon (North Hollywood)
        • Nail (West Hollywood)
        • Nail (Laguna Hills)
        • Nail (Huntington Beach)
        • Nail (Bellflower)
        • Nail (Orange)
        • Nail Salon (Whittier)
        • Nail Salon (Torrance)
        • Nail Salon (Hollywood)
        • Nail Salon (Pasadena)
        • Nail Salon (Long Beach)
        • Nail Salon (Santa Monica)
        • Massage Hair Nail (Carson)
        • Nails Spa (Duarte)
        • Nail Salon (Glendale)
        • Nail Salon (La Crescenta)
      • Hair Salons & Barber Shop
        • Hair & Nail (National City)
        • Hair Salon (Tustin)
        • Hair (Glendale)
        • Hair Salon (Diamond Bar)
        • Beauty Salon (Glendale)
        • Barber/Beauty Franchise (Stevenson Ranch)
        • Barber/Beauty Franchise (Valencia)
        • Barber/Beauty (Rowland Heights)
        • Salon & Boutique (Long Beach)
        • Barber & Beauty (Torrance)
        • Beauty Salon (Diamond Bar)
      • Shiseido Cosmetic
    • Boba Juice
      • Bubble Tea (Sawtelle)
      • Tea & Boba (Rowland Heights)
      • Boba Time (Orange County)
      • Boba Time 2
      • Boba Time
      • Boba (Rowland Heights)
      • Juice Bar (Ontario)
      • Boba Shop (Long Beach)
      • Boba Milk/Tea Shop (Walnut)
      • Boba (Gardena)
      • Juice Bar in Brea
    • Ice Cream & Frozen Yogurt
      • Frozen Yogurt (Westminster)
      • Soft Ice Cream (AlHambra)
      • Frozen Yogurt (Santa Ana)
      • Thai Roll Ice Cream (Santa Ana)
      • Frozen Yogurt (Redlands)
      • Baskin Robbins
      • 31 Baskin Robbins
      • 31 Baskin Robbins Pasadena
    • Cafe
      • Franchise Desert (Lynwood)
      • Doughnut (Laguna Niguel)
      • Snack Shop With Property (San Diego)
      • Cafe (Pasadena)
      • Franchise Desert (Cerritos)
      • Bakery (Rancho Cucamonga)
      • Tea Shop (Alhambra)
      • Small Cafe (West Los Angeles)
      • Shaved Ice (Rowland Heights)
      • Coffee Shop (Santa Ana)
      • Cafe (Stanton)
      • Cafe (Los Angeles)
      • Patisserie (W. L.A.)
      • Bakery & Cafe (Pasadena)
      • Café in Korea town mall
      • Tea House in Valencia
      • Bakery Cafe
      • Coffee Shop on Wilshire Blvd
    • Clothing & Accessory
      • Clothing (Blythe)
      • Discount Outlet (Redlands)
      • Boutique in K-town
      • Men Clothing San Pedro
    • Coin Laundry
      • Coin Laundry (Reseda)
      • Snack Stop & Coin Laundry (Los Angeles)
      • Coin Laundry (Pico Rivera)
      • Coin Laundry (Normandie)
      • Coin Laundry (3rd st)
      • Coin Laundry (Hawthorne)
      • Coin Laundry w/ Property (LA)
      • Coin Launry Los Aneles
    • Dry Cleaners
      • Dry Cleaners (Hawthorne)
      • Dry Cleaners (Downey)
      • Dry Cleaner (Gardena 2)
      • Dry Cleaners w/ Agency
      • 2 Dry Cleaning in Santa Monica & airport
      • Dry Cleaner in Canoga Park
    • Liquor Store
      • Liquor (Downey)
      • Mini Market (Maywood)
      • Franchise Mart (Walnut)
      • Beer & Wine Convenience Store (Ontario)
      • Beer & Wine Market (La Habra)
      • Liquor (Redondo Beach)
      • Liquor (D-Town)
      • Liquore Store in Norwalk
    • Market
      • Wholesale & Retail Meat Market (Arcadia)
      • Convenience Store W Property (Rancho Cucamonga)
      • Asian Indian Grocery 2 (Artesia)
      • Asian Indian Grocery (Artesia)
      • Meat Market (Pico Rivera)
    • Nursing Home
      • Nursing Home (Orland 2)
      • Nursing Home (Laguna Nigel)
      • Nursing Home (Orland)
      • Nursing Home (Palm Springs)
    • Restaurant
      • Chinese & Thai
        • Hot Pot (Rosemead)
        • Thai (Irwindale)
        • Rice noodle (Arcadia)
        • Thai (Lake Forest)
        • Chinese Restaurant (Poway)
        • Chinese Restaurant (Riverside)
        • Thai (Rancho Cucamonga)
        • Mongolian Bbq (Compton)
        • Thai Restaurant (Whittier)
        • Chinese Restaurant (Northridge)
        • Hot Pot Restaurant (Rosemead)
        • Chinese Restaurant (Lomita)
        • Mongolian Bbq by LAX
      • Japanese
        • Japanese (Gardena)
        • Japanese Bbq (Little Tokyo)
        • Japanese (Stanton)
        • Yakitori & Sushi (Yorba Linda)
        • Sushi Restaurant (Lakewood)
        • Ramen & Roll (Los Angeles)
        • Sushi (Anaheim)
        • Japanese Fusion (Culver City)
        • Izakaya with BW (Little Tokyo)
        • Japanese Izakaya (City of Industry)
        • Sushi & Teriyaki (Canoga Park)
        • Ramen (Los Angeles)
        • Sushi (Diamond Bar)
        • Sushi (Covina)
        • Ramen Restaurant (D-Town)
        • Japanes Take Out (Arcadia)
        • Japanese Take-Out (Rancho Cucamonga)
        • Japanese BBQ (Torrance)
        • Sushi (Azusa)
        • Sashimi Restaurant (K-town)
        • Fresno Sushi
        • Sushi & Teriyaki Colton
      • Poke
        • Poke (W. Los Angeles)
        • Poke Bar (Gardena)
        • Roll & Poke (Pasadena)
        • Hollywood Poki
      • Teriyaki
        • Flame Broiler 4
        • Flame Broiler (San Bernardino County)
        • Waba Grill (Torrance Area)
        • Waba Grill
        • Fried Chicken Beer Izakaya (Temple City)
        • Yoshinoya
        • Chicken Teriyaki Restaurant
      • Korean
        • Korean Barbeque (Hollywood)
        • Korean Pub & Restaurant in Lakewood
        • Korean Restaurant (Creve Coeur, MO)
        • Korean Restaurant (St Ann, MO)
        • Korean BBQ in Food Court
        • Gardena Korean Restaurant
        • Dumpling House in K-town
      • Italian
        • Italian Style (El Segundo)
        • Pizza (Pomona)
      • Mexican
        • Tacos (Paramount)
        • Mexican Restaurant (Vista)
        • Mexican (Van Nuys)
        • Mexican Restaurant (Los Angeles)
        • Mexican Restaurant (Pasadena)
      • Sandwich Shop
        • Sub Shop (Cypress)
        • Sandwich (Rancho Dominguez)
        • Sandwich (Bellflower)
        • Franchise Deli (Long Beach)
        • Deli Shop (Rancho Dominguez)
        • Vegetarian Sandwiches Shop (Orange)
      • Vietnamese
        • Pho (Vista)
        • Pho (Corona)
        • Vietnamese Noodles (Rosemead)
        • Vietnamese (Westminster)
        • Pho (Huntington park)
      • Mixed
        • Restaurant (Ojai)
        • Louisiana Fried Chicken w/property (Oakland)
        • Glorious Food (Studio City)
        • South Asian Cuisine (Tarzana)
        • Bar & Grill (San Diego)
        • Restaurant & Bar (Gardena)
        • Pho & Chinese (Glendora)
        • Gourmet Cafe (Pomona)
        • Sushi & Korea Bbq w/ property (Colorado)
        • Cafe Restaurant (Seal Beach)
        • Vegan (Upland)
        • Salad Restaurant (San Diego)
        • Brand New Restaurant (Westminster)
        • Restaurant with liquor license (Covina)
        • Hamburger with Beer & Wine (Monrovia)
        • Sichuan and Korean food (La Habra)
        • No Key Money Restarurant (Encino Commons)
        • Mediterrean Restaurant (San Diego)
        • Chicken Restaurant (Pasadena)
        • Buffet (Riverside)
        • Restaurant (Sawtelle Blvd)
        • Breakfast & Lunch (Riverside)
        • Sothern Seafood (Bellflower)
        • Burger (Newhall)
        • Brand New Restaurant with ABC (W. Minster)
        • Hotpot & Teppan-Yaki (City of Industry)
        • Cajun Seafood (Arcadia)
        • Brazilian Cuisine (Redondo Beach)
        • Noodle Restaurant (Glendale)
        • Hawaiian Restaurant (Torrance)
        • Japanes Fusion (Culver City)
        • Fried Chicken Restaurant (Ktown)
        • Sushi & Thai Restaurant (El Segundo)
        • Brazilian Bbq (Downtown)
    • Retail
      • Furniture Shop (Garden Grove)
      • Gift & Clothing (Montrose)
      • Beauty Supply (Burbank)
      • Home Mart (Fullerton)
      • Candy & Cookie (Rowland Heights)
      • Cell Phone Accessories
      • Cellphone Accessories Store in LA
      • Catholic Supplies & Book
      • Oxnard Best Toy and Character Collection
    • Miscellaneous
      • Animal Clinic (Barstow)
      • Verizon (Chino Hills)
      • Full Massage (Long Beach)
      • Yacht & Business (New Port Beach)
      • Event Venue/Restaurant (K-Town)
      • Water & More (Whittier)
      • Fitness Training (Downey)
      • Sign Manufacturer (La Puente)
      • PC Game Room (Fullerton)
      • Bike Shop (Irvine)
      • Billiards (Garden Grove)
      • Pet Shop (Pacoima)
      • Machine Shop CNC (El Monte)
      • Party Rental (Carson)
      • Decal Sign (Anaheim)
      • Restaurant Supply
      • Wireless Korea Town
      • Mailbox (La Crescenta)
    • Information
    • Escrow
      • Do I really need an Escrow?
      • ABC License Escrow Process
  • RESIDENTIAL
    • What's My Home Worth?
    • Exclusive Buyer Representation Agreemnet
    • Request Buy Sell Lease
    • Brand New Homes
      • Song Do American Town
      • Costa Mesa Homes
      • Perla
      • Metropolis
      • Porter Ranch Northridge
        • The Canyons at Porter Ranch – Pointe Collection
        • The Canyons at Porter Ranch – Peak Collection
        • Hillcrest at Porter Ranch – Beacon Collection
    • Income Property
    • Expired Listings
    • Free Services
    • Lease & Rent
    • Information
    • Homes
    • Moving Sale
      • Glendale
      • La Crescenta #203
  • COMMERCIAL
    • Request Buy Sell Lease
    • Commercial Land Sale
    • Retail Store Lease
    • Commercial Lease
    • Commercial Sale
    • Urbanize.La
  • INSURANCE
    • Auto Insurance
    • Home Insurance
    • Auto & Home Insurance
    • Business Insurance
    • Workers Compensation
    • Business Insurance & Worker's Compensation
  • CONTACT
  • Home
  • NEW LISTINGS
  • Business
    • Sell Your Business
    • Subscribe to New Business Listings
    • Automotive
      • Auto Repair (Rowland Heights)
      • Norwalk Express Car wash w/ property
      • Car Wash W/ Property (Yucaipa)
      • Auto Body (Simi Valley)
      • Auto Dealer (Santa Ana)
      • Auto & Truck Body Shop (Norwalk)
      • Auto Body (Baldwin Park)
      • Auto Service (Riverside)
      • Auto Shop (El Monte)
      • Auto Repair & Services (Rancho Palos Verdes)
    • Beauty & Personal Care
      • Nail Salons
        • Nail Salon (San Diego)
        • Nail Salon (Lakeside)
        • Nail Salon (La Jolla)
        • Nail Salon (North Hollywood)
        • Nail (West Hollywood)
        • Nail (Laguna Hills)
        • Nail (Huntington Beach)
        • Nail (Bellflower)
        • Nail (Orange)
        • Nail Salon (Whittier)
        • Nail Salon (Torrance)
        • Nail Salon (Hollywood)
        • Nail Salon (Pasadena)
        • Nail Salon (Long Beach)
        • Nail Salon (Santa Monica)
        • Massage Hair Nail (Carson)
        • Nails Spa (Duarte)
        • Nail Salon (Glendale)
        • Nail Salon (La Crescenta)
      • Hair Salons & Barber Shop
        • Hair & Nail (National City)
        • Hair Salon (Tustin)
        • Hair (Glendale)
        • Hair Salon (Diamond Bar)
        • Beauty Salon (Glendale)
        • Barber/Beauty Franchise (Stevenson Ranch)
        • Barber/Beauty Franchise (Valencia)
        • Barber/Beauty (Rowland Heights)
        • Salon & Boutique (Long Beach)
        • Barber & Beauty (Torrance)
        • Beauty Salon (Diamond Bar)
      • Shiseido Cosmetic
    • Boba Juice
      • Bubble Tea (Sawtelle)
      • Tea & Boba (Rowland Heights)
      • Boba Time (Orange County)
      • Boba Time 2
      • Boba Time
      • Boba (Rowland Heights)
      • Juice Bar (Ontario)
      • Boba Shop (Long Beach)
      • Boba Milk/Tea Shop (Walnut)
      • Boba (Gardena)
      • Juice Bar in Brea
    • Ice Cream & Frozen Yogurt
      • Frozen Yogurt (Westminster)
      • Soft Ice Cream (AlHambra)
      • Frozen Yogurt (Santa Ana)
      • Thai Roll Ice Cream (Santa Ana)
      • Frozen Yogurt (Redlands)
      • Baskin Robbins
      • 31 Baskin Robbins
      • 31 Baskin Robbins Pasadena
    • Cafe
      • Franchise Desert (Lynwood)
      • Doughnut (Laguna Niguel)
      • Snack Shop With Property (San Diego)
      • Cafe (Pasadena)
      • Franchise Desert (Cerritos)
      • Bakery (Rancho Cucamonga)
      • Tea Shop (Alhambra)
      • Small Cafe (West Los Angeles)
      • Shaved Ice (Rowland Heights)
      • Coffee Shop (Santa Ana)
      • Cafe (Stanton)
      • Cafe (Los Angeles)
      • Patisserie (W. L.A.)
      • Bakery & Cafe (Pasadena)
      • Café in Korea town mall
      • Tea House in Valencia
      • Bakery Cafe
      • Coffee Shop on Wilshire Blvd
    • Clothing & Accessory
      • Clothing (Blythe)
      • Discount Outlet (Redlands)
      • Boutique in K-town
      • Men Clothing San Pedro
    • Coin Laundry
      • Coin Laundry (Reseda)
      • Snack Stop & Coin Laundry (Los Angeles)
      • Coin Laundry (Pico Rivera)
      • Coin Laundry (Normandie)
      • Coin Laundry (3rd st)
      • Coin Laundry (Hawthorne)
      • Coin Laundry w/ Property (LA)
      • Coin Launry Los Aneles
    • Dry Cleaners
      • Dry Cleaners (Hawthorne)
      • Dry Cleaners (Downey)
      • Dry Cleaner (Gardena 2)
      • Dry Cleaners w/ Agency
      • 2 Dry Cleaning in Santa Monica & airport
      • Dry Cleaner in Canoga Park
    • Liquor Store
      • Liquor (Downey)
      • Mini Market (Maywood)
      • Franchise Mart (Walnut)
      • Beer & Wine Convenience Store (Ontario)
      • Beer & Wine Market (La Habra)
      • Liquor (Redondo Beach)
      • Liquor (D-Town)
      • Liquore Store in Norwalk
    • Market
      • Wholesale & Retail Meat Market (Arcadia)
      • Convenience Store W Property (Rancho Cucamonga)
      • Asian Indian Grocery 2 (Artesia)
      • Asian Indian Grocery (Artesia)
      • Meat Market (Pico Rivera)
    • Nursing Home
      • Nursing Home (Orland 2)
      • Nursing Home (Laguna Nigel)
      • Nursing Home (Orland)
      • Nursing Home (Palm Springs)
    • Restaurant
      • Chinese & Thai
        • Hot Pot (Rosemead)
        • Thai (Irwindale)
        • Rice noodle (Arcadia)
        • Thai (Lake Forest)
        • Chinese Restaurant (Poway)
        • Chinese Restaurant (Riverside)
        • Thai (Rancho Cucamonga)
        • Mongolian Bbq (Compton)
        • Thai Restaurant (Whittier)
        • Chinese Restaurant (Northridge)
        • Hot Pot Restaurant (Rosemead)
        • Chinese Restaurant (Lomita)
        • Mongolian Bbq by LAX
      • Japanese
        • Japanese (Gardena)
        • Japanese Bbq (Little Tokyo)
        • Japanese (Stanton)
        • Yakitori & Sushi (Yorba Linda)
        • Sushi Restaurant (Lakewood)
        • Ramen & Roll (Los Angeles)
        • Sushi (Anaheim)
        • Japanese Fusion (Culver City)
        • Izakaya with BW (Little Tokyo)
        • Japanese Izakaya (City of Industry)
        • Sushi & Teriyaki (Canoga Park)
        • Ramen (Los Angeles)
        • Sushi (Diamond Bar)
        • Sushi (Covina)
        • Ramen Restaurant (D-Town)
        • Japanes Take Out (Arcadia)
        • Japanese Take-Out (Rancho Cucamonga)
        • Japanese BBQ (Torrance)
        • Sushi (Azusa)
        • Sashimi Restaurant (K-town)
        • Fresno Sushi
        • Sushi & Teriyaki Colton
      • Poke
        • Poke (W. Los Angeles)
        • Poke Bar (Gardena)
        • Roll & Poke (Pasadena)
        • Hollywood Poki
      • Teriyaki
        • Flame Broiler 4
        • Flame Broiler (San Bernardino County)
        • Waba Grill (Torrance Area)
        • Waba Grill
        • Fried Chicken Beer Izakaya (Temple City)
        • Yoshinoya
        • Chicken Teriyaki Restaurant
      • Korean
        • Korean Barbeque (Hollywood)
        • Korean Pub & Restaurant in Lakewood
        • Korean Restaurant (Creve Coeur, MO)
        • Korean Restaurant (St Ann, MO)
        • Korean BBQ in Food Court
        • Gardena Korean Restaurant
        • Dumpling House in K-town
      • Italian
        • Italian Style (El Segundo)
        • Pizza (Pomona)
      • Mexican
        • Tacos (Paramount)
        • Mexican Restaurant (Vista)
        • Mexican (Van Nuys)
        • Mexican Restaurant (Los Angeles)
        • Mexican Restaurant (Pasadena)
      • Sandwich Shop
        • Sub Shop (Cypress)
        • Sandwich (Rancho Dominguez)
        • Sandwich (Bellflower)
        • Franchise Deli (Long Beach)
        • Deli Shop (Rancho Dominguez)
        • Vegetarian Sandwiches Shop (Orange)
      • Vietnamese
        • Pho (Vista)
        • Pho (Corona)
        • Vietnamese Noodles (Rosemead)
        • Vietnamese (Westminster)
        • Pho (Huntington park)
      • Mixed
        • Restaurant (Ojai)
        • Louisiana Fried Chicken w/property (Oakland)
        • Glorious Food (Studio City)
        • South Asian Cuisine (Tarzana)
        • Bar & Grill (San Diego)
        • Restaurant & Bar (Gardena)
        • Pho & Chinese (Glendora)
        • Gourmet Cafe (Pomona)
        • Sushi & Korea Bbq w/ property (Colorado)
        • Cafe Restaurant (Seal Beach)
        • Vegan (Upland)
        • Salad Restaurant (San Diego)
        • Brand New Restaurant (Westminster)
        • Restaurant with liquor license (Covina)
        • Hamburger with Beer & Wine (Monrovia)
        • Sichuan and Korean food (La Habra)
        • No Key Money Restarurant (Encino Commons)
        • Mediterrean Restaurant (San Diego)
        • Chicken Restaurant (Pasadena)
        • Buffet (Riverside)
        • Restaurant (Sawtelle Blvd)
        • Breakfast & Lunch (Riverside)
        • Sothern Seafood (Bellflower)
        • Burger (Newhall)
        • Brand New Restaurant with ABC (W. Minster)
        • Hotpot & Teppan-Yaki (City of Industry)
        • Cajun Seafood (Arcadia)
        • Brazilian Cuisine (Redondo Beach)
        • Noodle Restaurant (Glendale)
        • Hawaiian Restaurant (Torrance)
        • Japanes Fusion (Culver City)
        • Fried Chicken Restaurant (Ktown)
        • Sushi & Thai Restaurant (El Segundo)
        • Brazilian Bbq (Downtown)
    • Retail
      • Furniture Shop (Garden Grove)
      • Gift & Clothing (Montrose)
      • Beauty Supply (Burbank)
      • Home Mart (Fullerton)
      • Candy & Cookie (Rowland Heights)
      • Cell Phone Accessories
      • Cellphone Accessories Store in LA
      • Catholic Supplies & Book
      • Oxnard Best Toy and Character Collection
    • Miscellaneous
      • Animal Clinic (Barstow)
      • Verizon (Chino Hills)
      • Full Massage (Long Beach)
      • Yacht & Business (New Port Beach)
      • Event Venue/Restaurant (K-Town)
      • Water & More (Whittier)
      • Fitness Training (Downey)
      • Sign Manufacturer (La Puente)
      • PC Game Room (Fullerton)
      • Bike Shop (Irvine)
      • Billiards (Garden Grove)
      • Pet Shop (Pacoima)
      • Machine Shop CNC (El Monte)
      • Party Rental (Carson)
      • Decal Sign (Anaheim)
      • Restaurant Supply
      • Wireless Korea Town
      • Mailbox (La Crescenta)
    • Information
    • Escrow
      • Do I really need an Escrow?
      • ABC License Escrow Process
  • RESIDENTIAL
    • What's My Home Worth?
    • Exclusive Buyer Representation Agreemnet
    • Request Buy Sell Lease
    • Brand New Homes
      • Song Do American Town
      • Costa Mesa Homes
      • Perla
      • Metropolis
      • Porter Ranch Northridge
        • The Canyons at Porter Ranch – Pointe Collection
        • The Canyons at Porter Ranch – Peak Collection
        • Hillcrest at Porter Ranch – Beacon Collection
    • Income Property
    • Expired Listings
    • Free Services
    • Lease & Rent
    • Information
    • Homes
    • Moving Sale
      • Glendale
      • La Crescenta #203
  • COMMERCIAL
    • Request Buy Sell Lease
    • Commercial Land Sale
    • Retail Store Lease
    • Commercial Lease
    • Commercial Sale
    • Urbanize.La
  • INSURANCE
    • Auto Insurance
    • Home Insurance
    • Auto & Home Insurance
    • Business Insurance
    • Workers Compensation
    • Business Insurance & Worker's Compensation
  • CONTACT

Buying a Business, Do I really need an Escrow?

A common misconception is that escrows are only for buying a house or commercial property.  Often times a novice business buyer will buy a business and simply hand a check to a seller.  Yikes!  Using a bulk sale escrow is an important legal step in buying a business in California.  What is a bulk sale escrow?  Glad you asked!  In the sale of a business as an ongoing concern there is usually the transfer of some inventory and business equipment.  When more than half of the inventory and business and equipment are sold at one time, as is the case in the sale of a business, California law dictates that the sale follow the Bulk Sale Laws as defined in the Uniform Commercial Code of California.
The main purpose of the Bulk Sale requirements are to protect unsecured creditors of the business.  The law provides for this by mandating an advance notice of the sale in the form of the Notice to Creditors.   The Notice to Creditors has to be published for a minimum number of days, which is 12 business days in most cases.  Creditors of the subject business have to place claims into escrow for money they are owed during the bulk sale notice filing period, or risk not getting paid.  Types of companies that are typical creditors who would place claims would be equipment leasing and finance companies.  It is important to know how much is owed to the equipment leasing and finance companies, so that the payoffs can be arranged for through escrow.
Keep in mind that some equipment leasing and finance companies are quite large and it may take them some time determine payoff amounts.  Also, if there is an attempt to assume the financing or lease payments, then the application process itself may take more than 12 business days.  Thus, identifying the equipment leasing and finance companies should happen early in the Due Diligence Period, prior to opening a Bulk Sale Escrow.
This bulk sale notice and period offers the buyer some peace of mind, because it offers a chance to verify the seller’s claims about debts, and also, allows the buyer to eschew legal responsibility for the debts should the creditors fail to respond to the Notice to Creditors in a timely manner.  What happens if a creditor finds out after the close of escrow, their only legal recourse is to find the seller, though be aware they will try to collect from the buyer.  Buyers should keep copies of their escrow paperwork, because creditors who are late and didn’t get paid from escrow will knock on the door of the business demanding money.  The buyer needs to firmly let the creditor know that they missed the bulk sale notice period and that they need to track down the seller.
There is much more to a bulk sale escrow than just the notice to creditors.   Critical to properly closing a bulk sale escrow are receiving releases and clearances from the various state agencies.  The common agencies that need to give a clearance to escrow would be the Employment Development Department (EDD), the Franchise Tax Board (FTB) and The State Board of Equalization (SBOE).
The EDD is responsible for overseeing labor issues.  Obtaining an EDD clearance has never been much of a problem in the transaction we have been involved in.  If there are EDD problems, then be careful, because it means there are problem with the employees, which could leave a buyer in a real bind after taking possession.
The Franchise Tax Board is responsible for making sure the business and its owners have been paying their state taxes.  If there is a balance due by the business or the seller, make sure it is paid off before taking possession.  This is another good reason to have a Bulk Sale Escrow officer involved in the transaction, buyers want to make sure they are not taking a over a business or the corporation owning the business that has past due taxes, as that burden will to pass on the buyer.  We have run across transactions in which the seller owed back taxes.  Those situations were quite messy, and took some time to resolve.  So be prepared if there are tax problems for the seller, then it will take longer to close the transaction.
By far the biggest obstacle in completing a transaction is the State Board of Equalization (SBOE).  In our experience, the SBOE has delayed matters frequently, and they are a pain to deal with.  It really takes an experienced escrow officer to get any kind of response from the SBOE, let alone the response that is needed to close the transaction.  SBOE is responsible for collecting the Sales Tax due on the amount allocated to the Furniture, Fixtures and Equipment.  Buyers need to remember to budget for the sales tax amount.  Bear in mind that bulk sale escrows will withhold the seller’s proceeds pending the State Board of Equalization sending escrow a final release.  To get the final release, the seller needs to immediately file the Final Sales Tax Return for the business after the last day of ownership.  This means that the final SBOE release can not even be obtained until the buyer takes possession.  What happens here is the funds are withheld from the seller until the final release is obtained.  This final release is a challenge to get, which is another reason to work with an experienced Bulk Sale Escrow Officer.
Aside from the three releases, the bulk sale escrow officer will check for liens on the business with the Secretary of State’s office and local offices.
  • Home
  • NEW LISTINGS
  • Business
    • Sell Your Business
    • Subscribe to New Business Listings
    • Automotive
      • Auto Repair (Rowland Heights)
      • Norwalk Express Car wash w/ property
      • Car Wash W/ Property (Yucaipa)
      • Auto Body (Simi Valley)
      • Auto Dealer (Santa Ana)
      • Auto & Truck Body Shop (Norwalk)
      • Auto Body (Baldwin Park)
      • Auto Service (Riverside)
      • Auto Shop (El Monte)
      • Auto Repair & Services (Rancho Palos Verdes)
    • Beauty & Personal Care
      • Nail Salons
        • Nail Salon (San Diego)
        • Nail Salon (Lakeside)
        • Nail Salon (La Jolla)
        • Nail Salon (North Hollywood)
        • Nail (West Hollywood)
        • Nail (Laguna Hills)
        • Nail (Huntington Beach)
        • Nail (Bellflower)
        • Nail (Orange)
        • Nail Salon (Whittier)
        • Nail Salon (Torrance)
        • Nail Salon (Hollywood)
        • Nail Salon (Pasadena)
        • Nail Salon (Long Beach)
        • Nail Salon (Santa Monica)
        • Massage Hair Nail (Carson)
        • Nails Spa (Duarte)
        • Nail Salon (Glendale)
        • Nail Salon (La Crescenta)
      • Hair Salons & Barber Shop
        • Hair & Nail (National City)
        • Hair Salon (Tustin)
        • Hair (Glendale)
        • Hair Salon (Diamond Bar)
        • Beauty Salon (Glendale)
        • Barber/Beauty Franchise (Stevenson Ranch)
        • Barber/Beauty Franchise (Valencia)
        • Barber/Beauty (Rowland Heights)
        • Salon & Boutique (Long Beach)
        • Barber & Beauty (Torrance)
        • Beauty Salon (Diamond Bar)
      • Shiseido Cosmetic
    • Boba Juice
      • Bubble Tea (Sawtelle)
      • Tea & Boba (Rowland Heights)
      • Boba Time (Orange County)
      • Boba Time 2
      • Boba Time
      • Boba (Rowland Heights)
      • Juice Bar (Ontario)
      • Boba Shop (Long Beach)
      • Boba Milk/Tea Shop (Walnut)
      • Boba (Gardena)
      • Juice Bar in Brea
    • Ice Cream & Frozen Yogurt
      • Frozen Yogurt (Westminster)
      • Soft Ice Cream (AlHambra)
      • Frozen Yogurt (Santa Ana)
      • Thai Roll Ice Cream (Santa Ana)
      • Frozen Yogurt (Redlands)
      • Baskin Robbins
      • 31 Baskin Robbins
      • 31 Baskin Robbins Pasadena
    • Cafe
      • Franchise Desert (Lynwood)
      • Doughnut (Laguna Niguel)
      • Snack Shop With Property (San Diego)
      • Cafe (Pasadena)
      • Franchise Desert (Cerritos)
      • Bakery (Rancho Cucamonga)
      • Tea Shop (Alhambra)
      • Small Cafe (West Los Angeles)
      • Shaved Ice (Rowland Heights)
      • Coffee Shop (Santa Ana)
      • Cafe (Stanton)
      • Cafe (Los Angeles)
      • Patisserie (W. L.A.)
      • Bakery & Cafe (Pasadena)
      • Café in Korea town mall
      • Tea House in Valencia
      • Bakery Cafe
      • Coffee Shop on Wilshire Blvd
    • Clothing & Accessory
      • Clothing (Blythe)
      • Discount Outlet (Redlands)
      • Boutique in K-town
      • Men Clothing San Pedro
    • Coin Laundry
      • Coin Laundry (Reseda)
      • Snack Stop & Coin Laundry (Los Angeles)
      • Coin Laundry (Pico Rivera)
      • Coin Laundry (Normandie)
      • Coin Laundry (3rd st)
      • Coin Laundry (Hawthorne)
      • Coin Laundry w/ Property (LA)
      • Coin Launry Los Aneles
    • Dry Cleaners
      • Dry Cleaners (Hawthorne)
      • Dry Cleaners (Downey)
      • Dry Cleaner (Gardena 2)
      • Dry Cleaners w/ Agency
      • 2 Dry Cleaning in Santa Monica & airport
      • Dry Cleaner in Canoga Park
    • Liquor Store
      • Liquor (Downey)
      • Mini Market (Maywood)
      • Franchise Mart (Walnut)
      • Beer & Wine Convenience Store (Ontario)
      • Beer & Wine Market (La Habra)
      • Liquor (Redondo Beach)
      • Liquor (D-Town)
      • Liquore Store in Norwalk
    • Market
      • Wholesale & Retail Meat Market (Arcadia)
      • Convenience Store W Property (Rancho Cucamonga)
      • Asian Indian Grocery 2 (Artesia)
      • Asian Indian Grocery (Artesia)
      • Meat Market (Pico Rivera)
    • Nursing Home
      • Nursing Home (Orland 2)
      • Nursing Home (Laguna Nigel)
      • Nursing Home (Orland)
      • Nursing Home (Palm Springs)
    • Restaurant
      • Chinese & Thai
        • Hot Pot (Rosemead)
        • Thai (Irwindale)
        • Rice noodle (Arcadia)
        • Thai (Lake Forest)
        • Chinese Restaurant (Poway)
        • Chinese Restaurant (Riverside)
        • Thai (Rancho Cucamonga)
        • Mongolian Bbq (Compton)
        • Thai Restaurant (Whittier)
        • Chinese Restaurant (Northridge)
        • Hot Pot Restaurant (Rosemead)
        • Chinese Restaurant (Lomita)
        • Mongolian Bbq by LAX
      • Japanese
        • Japanese (Gardena)
        • Japanese Bbq (Little Tokyo)
        • Japanese (Stanton)
        • Yakitori & Sushi (Yorba Linda)
        • Sushi Restaurant (Lakewood)
        • Ramen & Roll (Los Angeles)
        • Sushi (Anaheim)
        • Japanese Fusion (Culver City)
        • Izakaya with BW (Little Tokyo)
        • Japanese Izakaya (City of Industry)
        • Sushi & Teriyaki (Canoga Park)
        • Ramen (Los Angeles)
        • Sushi (Diamond Bar)
        • Sushi (Covina)
        • Ramen Restaurant (D-Town)
        • Japanes Take Out (Arcadia)
        • Japanese Take-Out (Rancho Cucamonga)
        • Japanese BBQ (Torrance)
        • Sushi (Azusa)
        • Sashimi Restaurant (K-town)
        • Fresno Sushi
        • Sushi & Teriyaki Colton
      • Poke
        • Poke (W. Los Angeles)
        • Poke Bar (Gardena)
        • Roll & Poke (Pasadena)
        • Hollywood Poki
      • Teriyaki
        • Flame Broiler 4
        • Flame Broiler (San Bernardino County)
        • Waba Grill (Torrance Area)
        • Waba Grill
        • Fried Chicken Beer Izakaya (Temple City)
        • Yoshinoya
        • Chicken Teriyaki Restaurant
      • Korean
        • Korean Barbeque (Hollywood)
        • Korean Pub & Restaurant in Lakewood
        • Korean Restaurant (Creve Coeur, MO)
        • Korean Restaurant (St Ann, MO)
        • Korean BBQ in Food Court
        • Gardena Korean Restaurant
        • Dumpling House in K-town
      • Italian
        • Italian Style (El Segundo)
        • Pizza (Pomona)
      • Mexican
        • Tacos (Paramount)
        • Mexican Restaurant (Vista)
        • Mexican (Van Nuys)
        • Mexican Restaurant (Los Angeles)
        • Mexican Restaurant (Pasadena)
      • Sandwich Shop
        • Sub Shop (Cypress)
        • Sandwich (Rancho Dominguez)
        • Sandwich (Bellflower)
        • Franchise Deli (Long Beach)
        • Deli Shop (Rancho Dominguez)
        • Vegetarian Sandwiches Shop (Orange)
      • Vietnamese
        • Pho (Vista)
        • Pho (Corona)
        • Vietnamese Noodles (Rosemead)
        • Vietnamese (Westminster)
        • Pho (Huntington park)
      • Mixed
        • Restaurant (Ojai)
        • Louisiana Fried Chicken w/property (Oakland)
        • Glorious Food (Studio City)
        • South Asian Cuisine (Tarzana)
        • Bar & Grill (San Diego)
        • Restaurant & Bar (Gardena)
        • Pho & Chinese (Glendora)
        • Gourmet Cafe (Pomona)
        • Sushi & Korea Bbq w/ property (Colorado)
        • Cafe Restaurant (Seal Beach)
        • Vegan (Upland)
        • Salad Restaurant (San Diego)
        • Brand New Restaurant (Westminster)
        • Restaurant with liquor license (Covina)
        • Hamburger with Beer & Wine (Monrovia)
        • Sichuan and Korean food (La Habra)
        • No Key Money Restarurant (Encino Commons)
        • Mediterrean Restaurant (San Diego)
        • Chicken Restaurant (Pasadena)
        • Buffet (Riverside)
        • Restaurant (Sawtelle Blvd)
        • Breakfast & Lunch (Riverside)
        • Sothern Seafood (Bellflower)
        • Burger (Newhall)
        • Brand New Restaurant with ABC (W. Minster)
        • Hotpot & Teppan-Yaki (City of Industry)
        • Cajun Seafood (Arcadia)
        • Brazilian Cuisine (Redondo Beach)
        • Noodle Restaurant (Glendale)
        • Hawaiian Restaurant (Torrance)
        • Japanes Fusion (Culver City)
        • Fried Chicken Restaurant (Ktown)
        • Sushi & Thai Restaurant (El Segundo)
        • Brazilian Bbq (Downtown)
    • Retail
      • Furniture Shop (Garden Grove)
      • Gift & Clothing (Montrose)
      • Beauty Supply (Burbank)
      • Home Mart (Fullerton)
      • Candy & Cookie (Rowland Heights)
      • Cell Phone Accessories
      • Cellphone Accessories Store in LA
      • Catholic Supplies & Book
      • Oxnard Best Toy and Character Collection
    • Miscellaneous
      • Animal Clinic (Barstow)
      • Verizon (Chino Hills)
      • Full Massage (Long Beach)
      • Yacht & Business (New Port Beach)
      • Event Venue/Restaurant (K-Town)
      • Water & More (Whittier)
      • Fitness Training (Downey)
      • Sign Manufacturer (La Puente)
      • PC Game Room (Fullerton)
      • Bike Shop (Irvine)
      • Billiards (Garden Grove)
      • Pet Shop (Pacoima)
      • Machine Shop CNC (El Monte)
      • Party Rental (Carson)
      • Decal Sign (Anaheim)
      • Restaurant Supply
      • Wireless Korea Town
      • Mailbox (La Crescenta)
    • Information
    • Escrow
      • Do I really need an Escrow?
      • ABC License Escrow Process
  • RESIDENTIAL
    • What's My Home Worth?
    • Exclusive Buyer Representation Agreemnet
    • Request Buy Sell Lease
    • Brand New Homes
      • Song Do American Town
      • Costa Mesa Homes
      • Perla
      • Metropolis
      • Porter Ranch Northridge
        • The Canyons at Porter Ranch – Pointe Collection
        • The Canyons at Porter Ranch – Peak Collection
        • Hillcrest at Porter Ranch – Beacon Collection
    • Income Property
    • Expired Listings
    • Free Services
    • Lease & Rent
    • Information
    • Homes
    • Moving Sale
      • Glendale
      • La Crescenta #203
  • COMMERCIAL
    • Request Buy Sell Lease
    • Commercial Land Sale
    • Retail Store Lease
    • Commercial Lease
    • Commercial Sale
    • Urbanize.La
  • INSURANCE
    • Auto Insurance
    • Home Insurance
    • Auto & Home Insurance
    • Business Insurance
    • Workers Compensation
    • Business Insurance & Worker's Compensation
  • CONTACT