UK - new card payment provider but might sell the business
December 14, 2021 6:52 AM   Subscribe

Not sure how to play this one - need to sign a new card payments contract, these are usually three year long, but only have three months left on my lease for the buildings I have my business in, and I'm not sure if I'll continue or not. Question is: is it normal to pass on your card payment provider if you sell your business as a going concern? This is a bricks and mortar UK business. Thanks
posted by dance to Work & Money (5 answers total)
 
Are you signing as an individual, or as "agent / owner of business"? The cald payment contract might specify what a transfer entails.
posted by nickggully at 6:56 AM on December 14, 2021


Response by poster: hmmm, as I'm a sole trader, I imagine I'll be signing as "Mr Benn, T/A Benn's Adventure Days" rather than Benn's Adventures Ltd
posted by dance at 10:37 AM on December 14, 2021


Normally, if the contract is with your company and you are legally allowed to sign on behalf of the company, then the contract is with the company and anyone buying your business would need to take on that contact as part of the going concern of the business.

A sole trader is different though because your business won't be registered as a business with Companies House, so there isn't really a business to sell as such. You are just self-employed without the benefits and drawbacks of being a registered company, so you would have to sign as yourself. I'd strongly advise you to ask your accountant about this before signing anything, because sole traders are on the hook for losses and debts in a way limited company directors aren't.
posted by underclocked at 11:17 AM on December 14, 2021 [1 favorite]


Response by poster: Thanks underclocked - yes - know all about the risks of being a sole trader! :-)
Good tip/idea to ask the accountant, I will do.
posted by dance at 2:01 PM on December 14, 2021


I took over a card machine and account as a new limited company from a sole trader business, and it was pretty painless. (Except that the payment provider GlobalPayments, we’re totally awful.)
posted by fizban at 10:32 PM on December 17, 2021


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