“Software included, the business owner said,” quotes the business-for-sale buyer.

January 9, 2010

I once bought a business where it was specified that the software was included.  What was neglected in the purchase agreement were the terms “and software license.” “ What difference does it make,” said the seller after the transaction, the software is on the computer.

The difference was that if the computer crashed and the software needed to be re-loaded or updated, it could not be done because I did not own the license.

The Seller and I came to terms with a financial adjustment to the amount I owned him.  Fortunately the Seller was an honorable person and we went on without a lawsuit or argument.  It is not always that way.  The amount can be much greater than $1,400 as it was in this example.

Be careful to specify what you really want.  In fact, the license can be more valuable than the software on the computer.  With a license you have the right to get a new download of software.  With software, you may not be.

By the way, it is often that such adjustments after the close of the transaction, i.e. the software, the damaged equipment, the inventory shortage, are often taken off  or added to the amount owed the Seller.  Otherwise, a check must be written to one or the other.

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