Asset sale

An asset sale refers to a transaction where a business sells specific assets rather than its entire company. These assets can include equipment, inventory, real estate, or intellectual property. In this type of sale, the buyer acquires only the chosen assets and not the company’s liabilities or debts. This approach allows businesses to streamline operations or raise capital, while buyers can acquire valuable assets without taking on unwanted obligations. Asset sales are common in bankruptcies, mergers, and acquisitions, offering flexibility for both sellers and buyers.