It is recommended that you have the agreement designed by your in-company lawyer, check the tax impact of the operation of the agreement by your accountant, and properly verify the financing by a financial advisor or life insurance agent. A version of this article originally published in the September 2019 issue of Thomson Reuters` estate planning journal. Buying and selling agreements are critical when it comes to a narrow business, but are often ignored or briefly shrunk by business owners. Life insurance is an effective instrument for entrepreneurs to implement the provisions of a purchase-sale contract by providing liquidity to their business and family in the event of the death of an owner. Other events may be the permanent disability of the owner or the termination of an owner`s employment with the business. The purchase-sale contract determines how to determine the value of the interests of a transferring owner.. . . .