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Buy/Sell Agreements:
Buy/sell agreements are used to ensure stable ownership of a company in the event one of the owners retires, becomes disabled or dies. Members of the buy/sell agreement agree to sell their ownership stake in the company to the other members of the agreement or back to the company. The agreement establishes a price for that interest in the business and, often times, a life insurance or disability policy is then taken against that member to fund the agreement.
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