Business Broker Contract Template for Singapore

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Key Requirements PROMPT example:

Business Broker Contract

"I need a Business Broker Contract for my Singapore-based manufacturing company, with exclusive representation rights and a tiered commission structure based on the final sale price, to be effective from March 2025."

Document background
The Business Broker Contract is essential for formalizing the relationship between business brokers and clients in Singapore's dynamic business environment. This document is typically used when a business owner seeks professional assistance in selling their business, requiring detailed documentation of services, compensation, and obligations. The contract ensures compliance with Singapore's regulatory framework, including the Business Registration Act and relevant commercial laws. A properly structured Business Broker Contract protects both parties' interests while facilitating transparent and efficient business transactions in accordance with Singapore's legal requirements.
Suggested Sections

1. Parties: Identification of the broker and client, including full legal names, registration numbers, and addresses

2. Background: Context of the agreement and brief description of the business brokerage services to be provided

3. Definitions: Key terms used throughout the agreement including 'Services', 'Commission', 'Confidential Information', etc.

4. Scope of Services: Detailed description of brokerage services, including business valuation, marketing, negotiation, and deal facilitation

5. Commission Structure: Details of fees, payment terms, and conditions for commission eligibility

6. Confidentiality: Obligations regarding confidential information handling and non-disclosure terms

7. Term and Termination: Duration of the agreement and conditions for termination

Optional Sections

1. Exclusivity: Terms of exclusive representation rights and obligations of the broker

2. Non-Circumvention: Prevention of direct deals between client and introduced parties, protecting broker's interests

3. Marketing Authorization: Specific permissions and terms for advertising and promoting the business

4. Due Diligence Support: Broker's role and responsibilities in facilitating the due diligence process

Suggested Schedules

1. Schedule A - Commission Structure: Detailed breakdown of commission rates and payment terms

2. Schedule B - Services Description: Comprehensive list of services provided by the broker

3. Schedule C - Marketing Plan: Detailed marketing strategy and activities

4. Appendix 1 - Required Documentation: List of documents required from the client

5. Appendix 2 - Compliance Checklist: Regulatory compliance requirements and checklist

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Clauses
Industries

Estate Agents Act 2010: Primary legislation governing real estate brokerage activities in Singapore, essential if the business brokerage involves property transactions.

Business Registration Act: Fundamental legislation governing the registration and regulation of businesses in Singapore.

Companies Act: Key legislation governing corporate entities and business operations in Singapore.

Contract Law (Chapter 43): Singapore's primary legislation governing contract formation, enforcement, and remedies.

Competition Act: Legislation ensuring fair competition and preventing anti-competitive practices in business dealings.

CEA Regulations: Council for Estate Agencies regulations applicable to real estate brokerage activities.

Securities and Futures Act: Legislation governing trading of securities and financial instruments, relevant if dealing with business securities.

Personal Data Protection Act 2012: Legislation governing the collection, use, and disclosure of personal data in Singapore.

Corruption, Drug Trafficking and Other Serious Crimes Act: Anti-money laundering legislation requiring due diligence and reporting of suspicious transactions.

Terrorism (Suppression of Financing) Act: Legislation preventing the financing of terrorism through business transactions.

Employment Act: Primary legislation governing employment relationships if the broker employs staff.

Central Provident Fund Act: Legislation governing mandatory social security savings system for employees in Singapore.

Money-changing and Remittance Businesses Act: Legislation regulating money changing and remittance businesses, relevant for international transactions.

Consumer Protection (Fair Trading) Act: Legislation protecting consumers and ensuring fair trading practices in business transactions.

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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