Selling bootstrapped startup (S Corp) 100% owned by one person. The buyer wants to do a stock deal – i.e., acquire 100% of the stock. But the Legal costs will be high.
Options include
1. Asset sale – sell code base
2. Exclusive license
3. Sell the stock.
The company is 5 years old.
What is the best tax option? Perhaps an empirical example.
Ps not a major amount – exit value – just $4m.
I want to get some good options before handing off over to law firm. Would like to ensure that legal fees are optimized.