Target of an asset deal is the business of the company consisting of e.g. machinery, employees, trademarks, clients and contract base. Company continuing its business after the asset deal without the sold business acts as a seller in an asset deal. Debts and liabilities of the selling company do not transfer to the buyer unless separately agreed.
Because the contracts relating to the business to be sold will transfer to the buyer, transferring of the agreements should be agreed with the contracting parties in advance when possible. In addition, business permits and licenses related to the business to be sold should be applied separately for the buyer.
Defining the transferring business is linked to the employees and if the purchase price can be paid without VAT. If the sale covers only individual assets instead of a business entity, the employees will not necessarily transfer in the sale as so-called existing employees and VAT should be added to the purchase price.