A guide to the asset purchase agreement (APA) that formalizes your acquisition
What is an APA?
An asset purchase agreement (APA) is a legal document that commits you and the buyer to the acquisition at the price and terms stated. Since it's legally binding, you and the buyer only sign the APA once you've completed all due diligence.
Who creates the APA?
The fastest way to create the APA is with our APA builder. The buyer enters the price and terms and then digitally signs the document before sending it to you for review. You or the buyer could also create the APA manually, upload it into the builder, and digitally sign it for transparency. This way, you have a clear record of your transaction.
How to review the APA
When you receive the APA, download the document and read it carefully. Always consult legal counsel before signing an APA to ensure you protect your interests.
(Although the APA builder pulls data from your listing and letter of intent (LOI), the buyer might've added terms and conditions not found in their original offer.)
Sign the APA as soon as you're happy with the wording. If you're unhappy with the wording, reject the APA with a message to the buyer asking them to revise it.
- Under My acquisition, click the APA tab.
- Click View APA.
- Review the purchase price and click Next.
- Review the terms by clicking on each section.
- Reject the APA or click Next to continue to signing.
- Type your signature and choose how you're signing (entity or individual).
- Click Accept APA.
How to cancel an APA
Signing the APA starts your escrow transaction. To cancel your APA, you must first cancel the escrow transaction by contacting us at support@acquire.com.
Please read before canceling your APA
We cannot speak on behalf of an attorney. If you have any questions about canceling an APA, please consult your attorney for more information.
We recommend doing the following before canceling your APA:
- Please ask the buyer to confirm in writing that they want to terminate the transaction (if they have not done so already).
- Ensure you're up-to-date on your LOI obligations.
- Please review your APA to determine whether you can terminate the agreement yourself or if you need the buyer's consent. If you have any questions about this, please contact your attorney.
- Please keep a record of your escrow transaction cancelation. Acquire.com has no part of any transaction or release of funds, so if you have questions about escrow, please direct them to the escrow provider (Escrow.com or SRS Acquiom).
How to cancel your APA
- Under My acquisition, click the APA tab.
- Click the downward arrow next to the "APA accepted" status.
- Click Yes, cancel APA on the confirmation window.
Still need help?
Please search the help desk again or contact support at support@acquire.com.