Prepaid services are defined as any income or revenue a business has received where there is an existing liability to perform these services in the future.  Prepaid services include gift cards, deposits, and credits.

When purchasing a business that accepts prepaid services, it is imperative to address these pre-paid services in the business purchase agreement to avoid conflict after the sale.  It is important for the buyer and seller to work together to make sure each pre-paid service is allocated fairly and equitably. 

If you have any questions on addressing prepaid services or are interested in selling or buying a business, contact Eric for a confidential, complimentary consultation.


Eric Gall
MBA, CM&AP, CBI, ABI, M&AMI
239.738.6227
[email protected]