For a Katy owner selling an energy-services company, recurring service business, or franchise portfolio, the headline offer is only the beginning. Unfinished jobs, customer deposits, franchisor approvals, and an earnout can change what you receive and when you can leave. Acquisition Stars helps sellers turn those issues into negotiated terms before exclusivity limits their options. Alex Lubyansky leads every engagement, reviews every document, and leads negotiation and closing, with an associate supporting the work.
A structured, methodical approach to business sale transaction law
1
Transaction Assessment
We review the proposed deal, understand your objectives (whether buying or selling), and develop a legal strategy tailored to your specific transaction and timeline.
2
Deal Structuring
We structure the transaction to optimize risk allocation, tax treatment, and operational continuity, whether as an asset purchase, stock purchase, or membership interest transfer.
3
Due Diligence
Managing Partner Alex Lubyansky oversees legal due diligence, identifying risks and opportunities that directly inform the purchase agreement and deal terms.
4
Agreement Negotiation
We draft or negotiate the purchase agreement and all ancillary documents, ensuring every term reflects your interests and addresses the specific risks in your deal.
5
Closing Coordination
We manage the closing checklist, coordinate with lenders, brokers, and opposing counsel, and ensure all conditions are met for a timely and clean closing.
We don't take every matter. Here is what happens when you reach out.
1
Personal Review (Within 24 Hours)
Alex reviews your transaction details. Your submission is not screened by an intake coordinator before it reaches him.
2
Fit Assessment
We evaluate whether your deal aligns with our practice. Not every matter is a fit, and we will tell you directly if it is not.
3
Initial Conversation
If there is alignment, Alex schedules a direct call to discuss your transaction, timeline, and objectives.
4
Clear Engagement Terms
Before any work begins, you receive a written engagement letter with defined scope, timeline, and fee structure. No surprises.
Request Your Katy Engagement Assessment
Alex Lubyansky leads every business sale transaction law engagement, with an associate supporting the work.
15+ years of M&A experience. Nationwide. LOI through closing.
Request Engagement Assessment
Alex reviews each inquiry. If there is alignment, you will hear back within one business day.
Submission Received
Your transaction details are under review. If there is alignment, we will be in touch.
Meanwhile, feel free to call us directly at (248) 266-2790
Frequently Asked Questions
Common questions from Katy clients
What should a Katy seller resolve before agreeing to an earnout?
Resolve the metric, measurement period, accounting rules, buyer-controlled decisions that affect the metric, access to records, and the dispute process. Alex Lubyansky’s discussion of earnouts on LifeWise asks whether the target is realistically attainable and how the seller gets there. Applied to a service-business sale, that means testing the formula against actual job economics and the buyer’s ability to move work or costs. This application is a planning example, not a reported client result.
How should customer deposits be handled when selling a service business?
Prepare a job-by-job schedule linking each deposit to the remaining performance obligation. Negotiate whether the seller retains the cash, transfers it, or receives an adjustment to the price, and identify who will finish the work or handle a refund. Coordinate that treatment with working capital and assumed liabilities to avoid counting the same obligation twice.
What Texas tax item should be on the closing checklist?
Address the Texas Comptroller’s Certificate of No Tax Due and successor-liability guidance with the buyer and CPA. The state describes circumstances requiring the buyer to withhold purchase money for unpaid business taxes. Treat clearance and payment instructions as closing deliverables. Texas tax obligations should not be dismissed merely because the seller expects favorable federal tax treatment.
What does a business sale attorney do?
A business sale attorney handles the legal side of buying or selling a business. This includes structuring the deal, conducting or managing due diligence, drafting and negotiating the purchase agreement, and coordinating the closing. At Acquisition Stars, Managing Partner Alex Lubyansky leads every transaction.
Do I need an attorney for a small business sale?
Yes. Even straightforward business sales involve purchase agreements, liability allocation, non-compete terms, and closing mechanics that carry real legal risk. The cost of experienced counsel is small compared to the cost of a poorly structured deal or a post-closing dispute that could have been prevented.
How much does a business sale attorney cost?
Legal fees for a business sale scale with the size and complexity of the transaction rather than following a fixed fee schedule. A larger transaction, with more negotiation, due diligence, and structuring work, carries a proportionately larger fee. Acquisition Stars reviews your transaction and discusses fee structure during the initial engagement assessment, before any work begins.
Can you represent both the buyer and the seller?
No. Representing both sides in the same transaction creates a conflict of interest. We represent one party, either the buyer or the seller, and advocate exclusively for that client's interests throughout the deal.
How is Acquisition Stars different from a general business lawyer?
Our practice is focused exclusively on M&A transactions. Managing Partner Alex Lubyansky brings 15+ years of deal experience, which means we have seen and solved the issues that general practice attorneys encounter for the first time. You get specialized M&A counsel with the personal responsiveness of a boutique firm.
How long does it take to sell a business?
From a signed letter of intent to closing, most business sales take 60 to 120 days. The full process, including preparation, marketing, and finding a buyer, can take 6 to 12 months. Acquisition Stars keeps the legal workstream moving at the speed your deal requires, so legal review is never the reason for delay.
Asset sale or stock sale: which is better for a seller?
Most small and mid-size business sales are structured as asset sales, which let a buyer avoid inheriting unknown liabilities and often close faster. A stock sale transfers the entire entity, including its contracts and licenses, and can carry tax advantages for a seller depending on structure and basis. The right choice depends on your entity type, liabilities, and tax position, so we review this early in the engagement.
What happens to my employees when I sell the business?
In an asset sale, the buyer typically makes new offers of employment to some or all employees rather than automatically assuming existing employment agreements. In a stock sale, employees generally continue under the company as before, since the legal entity itself does not change hands. We review employment agreements, benefit plans, and any change-in-control provisions as part of the sale to avoid surprises at closing.
What is an earnout or seller note, and should I agree to one?
An earnout ties part of the purchase price to the business hitting agreed performance targets after closing. A seller note has the buyer pay part of the price over time, with the seller acting as a lender. Both shift risk back to the seller and require careful negotiation of the metrics, payment terms, and default remedies. We negotiate these terms to protect your right to be paid in full.
How do I protect myself from claims after the sale closes?
Post-closing liability is managed through negotiation of representations and warranties, indemnification caps, basket thresholds, survival periods, and escrow amounts. We negotiate each of these terms on your behalf to limit your exposure after the sale closes, whether you are selling directly to a buyer or through a broker-managed process.
How do I choose a lawyer to sell my business?
Choose a lawyer to sell your business based on sell-side transaction experience, not general business law credentials. Confirm the attorney can evaluate earnout, rollover equity, and seller-financing terms well enough to tell you which provisions are standard and which put your proceeds at risk, not just draft the purchase agreement. Also confirm availability during due diligence and how fees scale with deal size before you engage.
Can you sell a business without a lawyer?
Legally, yes, but the purchase agreement, indemnification terms, and escrow structure carry real financial risk when negotiated without counsel. Even in a straightforward sale, an attorney identifies liability exposure and post-closing risk that a seller working alone is likely to miss until it becomes a dispute.
What are red flags when hiring a lawyer to sell a business?
The clearest red flags: an attorney who will not say who handles your deal, has no sell-side experience, cannot explain earnout or rollover risk in plain terms, quotes a fixed fee before reviewing your deal, or will not put the engagement scope in writing. See the red flags section above for the full list and what to ask instead.
Does Acquisition Stars only represent sellers, or buyers too?
Acquisition Stars represents both buyers and sellers in business sale transactions, though never both parties in the same deal. The firm's sell-side experience, including evaluating earnout, rollover equity, and seller-financing terms, applies whether you are the party selling or the party structuring an offer to buy.
How do Texas non-compete laws affect business sale transaction law transactions?
Enforceable only if ancillary to or part of an otherwise enforceable agreement under the Texas Business & Commerce Code Section 15.50-15.52 (Covenants Not to Compete Act). The covenant must contain limitations as to time, geography, and scope that are reasonable and do not impose a greater restraint than necessary. Texas courts must reform (not void) overbroad covenants to make them enforceable. The "ancillary to an otherwise enforceable agreement" requirement typically means the non-compete must be connected to consideration such as stock options, proprietary information access, or a sale of business.
What are the Texas tax considerations for selling a business?
Texas has no corporate income tax and no personal income tax. The state imposes a Franchise (Margin) Tax on entities with total revenue exceeding $2.47 million (2024 threshold), at rates of 0.375% (retail/wholesale) or 0.75% (other). As a community property state, spousal consent is required for transfers of community property business assets. The no-income-tax environment significantly affects deal structuring.
Does Texas have a bulk sales law that affects business acquisitions?
Texas has repealed UCC Article 6 (Bulk Sales). However, Texas Tax Code Section 111.020 permits the Comptroller to impose successor liability on asset purchasers for the seller's unpaid franchise (margin) tax and sales tax. Buyers must request a tax clearance certificate before closing.
What can I expect during an initial consultation in Katy?
During your confidential initial consultation in Katy, we'll discuss your business sale transaction law needs, review your current situation, assess potential challenges specific to Texas, and outline a clear path forward. We'll explain our process, answer your questions, and determine if we're the right fit for your needs.
Do you work with companies outside of Katy?
Yes, we represent clients nationwide while maintaining a strong presence in Katy. Our managing partner handles business sale transaction law matters across all 50 states, coordinating with local counsel where state-specific requirements apply.
Need Specific Guidance?
Submit your transaction details for a preliminary assessment by our managing partner
Houston's M&A market is anchored by the energy sector but has diversified significantly into healthcare, technology, and industrial services. Energy transition is creating new deal flow as traditional oil & gas companies acquire renewable energy and carbon capture businesses. The Texas Medical Center - the world's largest - drives healthcare M&A from physician practice roll-ups to medical device acquisitions.
Top M&A Sectors Near Katy
Energy & Oilfield Services
Healthcare
Industrial Services
Technology
Chemical & Petrochemical
Deal Environment
Houston deal flow is cyclical in energy but consistent in healthcare and industrial services. The region's business-friendly tax environment attracts out-of-state buyers, increasing competition for quality targets in non-energy sectors.
Why Acquire in the Houston Area
Houston's pro-business environment, no state income tax, and population growth make it one of the fastest-growing M&A markets in the country. The city's massive port infrastructure and energy expertise create unique acquisition opportunities not found elsewhere.
Texas Legal Considerations
Texas has no state income tax but imposes a franchise (margin) tax on businesses with revenue exceeding $2.47 million - buyers must evaluate the target's franchise tax exposure and ensure proper filing history during due diligence.
Katy M&A Market Insight
A Katy seller whose business serves the Houston area should organize diligence around how jobs turn into cash. List open jobs, amounts billed, deposits collected, costs to complete, warranty obligations, and the entity named on each customer contract. For a franchise portfolio, make the same list by unit and add the franchisor’s transfer requirements and each premises lease. This produces a closing map: which obligations the buyer assumes, which proceeds remain with the seller, and which third-party approvals could prevent all units from transferring together.
Energy-services sale: separate completed revenue from remaining job risk
Illustrative planning scenario: a maintenance contractor has a strong backlog but several jobs need additional labor and rented equipment after closing. Request the underlying work orders, cancellation rights, deposits, and cost-to-complete estimates. Decide which party earns the receivable and pays to finish each job. Use those decisions in the assumed-liabilities schedule and working capital definition so a backlog number does not conceal an unfunded obligation.
2
Franchise portfolio: build an approval checklist for each unit
Record the seller entity, franchise agreement, transfer application, proposed buyer, lease consent, transfer charges, and required work for every unit. Ask whether the franchisor requires new agreement terms or buyer training. Decide what happens if one location is approved and another is delayed. Address any split closing, price allocation, and shared-service arrangements explicitly rather than assuming portfolio approval is a single event.
3
Earnout offer: test the calculation against decisions the buyer controls
Use a hypothetical month to work through the proposed formula. If payment depends on profit, identify how shared overhead, new hires, equipment charges, and diverted customers affect that profit. Negotiate the seller’s access to records, calculation deadlines, dispute process, and any operating commitments. Compare the cash payable at closing with the amount genuinely contingent on future performance before treating the offer as an acceptable price.
Why Katy for M&A
The first legal review should identify the seller’s actual constraint: finishing jobs, obtaining unit-level approvals, collecting deferred consideration, or leaving operations after a transition. Send the draft offer and the corresponding job, franchise, or payment schedules. This gives the assessment a concrete transaction question to resolve.
Local Market Context
Katy M&A Market
Houston-The Woodlands-Sugar Land, TX MSA · MSA population 7.8M
MSA Population (2024)
7.8M
U.S. Census Bureau
Top Industry Concentration
1 oil and gas and energy
2 petrochemicals and refining
3 healthcare
Houston is the energy capital of the United States. M&A activity is driven primarily by oil and gas exploration and production, refining, petrochemicals, and midstream infrastructure transactions. The energy transition is generating a new wave of deals as traditional energy firms acquire renewable energy, carbon capture, and hydrogen assets. Healthcare, particularly the Texas Medical Center complex, is the second major M&A sector for this metro.
Major Katy Employers and Deal Anchors
ExxonMobil
ConocoPhillips
Chevron Phillips Chemical
Houston Methodist
Halliburton
Schlumberger (SLB)
Transit and Logistics
Port of Houston is the largest US port by total cargo tonnage and the busiest for petrochemical exports. George Bush Intercontinental and Hobby airports serve the metro. The Houston Ship Channel is a critical national energy infrastructure asset.
Recent Katy Deal Signal (2024-2025)
ExxonMobil's acquisition of Pioneer Natural Resources closed in Q2 2024 in a deal valued at approximately $60 billion, the largest US energy deal in decades. Upstream consolidation across Permian Basin operators continued through 2024-2025.
Local Regulatory Notes for Business Sale Transaction Law
FERC oversight applies to midstream and pipeline transactions. Texas Railroad Commission regulates oil and gas operations and is relevant to E&P deal due diligence.
Texas Legal Considerations for Business Sale Transaction Law
Non-Compete Laws
Enforceable only if ancillary to an otherwise enforceable agreement. Mandatory reformation.
Filing Requirements
Entity mergers and conversions must be filed with the Texas Secretary of State. Franchise tax (margin tax) compliance is required. The Comptroller's office handles tax clearance certificates for asset purchases. Public Information Reports are required annually.
Key Texas Considerations
Texas has no corporate or personal income tax, making it one of the most favorable jurisdictions for structuring acquisitions, though the Franchise (Margin) Tax still applies as a gross-receipts-based tax
As a community property state, spousal consent is required for the sale of community property business interests, adding a required step in deal documentation
Texas's unique requirement that non-competes be "ancillary to an otherwise enforceable agreement" means buyers must carefully evaluate the enforceability of each non-compete in a target company's portfolio based on the underlying consideration
Texas Bar Authority
State Bar of Texas (mandatory unified bar). Unified/integrated bar. Membership required to practice law in Texas.
Federal districts: N.D. Tex., S.D. Tex., E.D. Tex., W.D. Tex.
Business court: Texas Business Court (established 2024) Established by HB 19 signed in 2023; became operational September 1, 2024. Eleven divisions statewide, five divisions initially open. Concurrent jurisdiction with district courts in matters over $5 million including corporate governance, shareholder disputes, fiduciary claims, and state or federal securities law. The Fifteenth Court of Appeals serves as the dedicated appellate court, making Texas the first state with a dedicated business court appellate track.
Source: Texas Business Court
Texas M&A Market Context
Texas is the second-largest U.S. M&A market, with Houston (energy), Dallas-Fort Worth (technology, financial services), and San Antonio as major deal-flow centers across all industry verticals.
Recent Texas Legislative Changes (2024-2025)
Texas Business Court Established (HB 19). Governor Abbott signed HB 19 in 2023, creating the Texas Business Court as a new trial-level court with concurrent jurisdiction over complex commercial and corporate matters with amounts in controversy exceeding $5 million. The court began accepting cases September 1, 2024, with five of eleven planned divisions initially operational. Texas also created the Fifteenth Court of Appeals as the first dedicated business court appellate track in the U.S.
Source (accessed 2026-04-27)
Watchpoints
Common Katy Business Sale Transaction Law Pitfalls
These are the items we see derail business sale transaction law transactions in the Katy market. Each one is rooted in current statutory law, recent legislative changes, or recurring patterns from the deals Alex has handled.
1
Recent Texas statutory change buyers and sellers miss
State statute
Governor Abbott signed HB 19 in 2023, creating the Texas Business Court as a new trial-level court with concurrent jurisdiction over complex commercial and corporate matters with amounts in controversy exceeding $5 million. The court began accepting cases September 1, 2024, with five of eleven planned divisions initially operational. Texas also created the Fifteenth Court of Appeals as the first dedicated business court appellate track in the U.S.
Texas non-compete enforcement and earn-out exposure
State legal framework
Enforceable only if ancillary to an otherwise enforceable agreement. Mandatory reformation.
"An LOI is permission to look under the hood. Nothing more."
3
Katy local regulatory exposure
Local regulatory
FERC oversight applies to midstream and pipeline transactions. Texas Railroad Commission regulates oil and gas operations and is relevant to E&P deal due diligence.
4
Texas regulatory framework attorneys flag at LOI
State statute
Securities regulated by Texas State Securities Board (ssb.texas.gov). Texas follows the Texas Securities Act (Tex. Gov't Code Title 12); Blue Sky notice filings required for Reg D. Texas enforces non-competes only if part of an otherwise enforceable agreement and supported by adequate consideration (Tex. Bus. Com. Code sec. 15.50).
Guides and Resources
In-depth guides to help you prepare for your transaction
Alex Lubyansky leads every engagement, with an associate supporting the work. Tell us about your transaction and we will let you know if there is a fit.
