Quote:
Originally Posted by wifi
Could also be that the original owners of MHD wanted $$ for the trade name and OHD got a better price on the deal if they used a new name.
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While I'm sure the owners of Orlando Harley know how to acquire a business, in transactions like this it is not uncommon to do an "inventory sale". In essence, all the assets are sold to the new owners, but the formal corporate entity is retained by the original owners. That entity also retains any outstanding debt and liabilities. This allows for one business to buy another without having to spend tons of money on due diligence making sure there is no outstanding liabilities. Of course in this scenario, the old owners retain the old business name, so the new owners need to use a new name...