Business entities such as closely held corporations and LLC's frequently rely upon buy-sell agreements when creating future business succession plans or who would otherwise have a limited market in which to sell their business interests. It is simply a contract to buy and sell a departing business owner's interests and is frequently utilized in the occurrence of a death or retirement of a business owner in the small business context. 

Like any other contract, the parties have freedom to negotiate the contract terms in a buy-sell agreement in order to reflect the specific needs of the business. There are three common rights that are negotiated in the context of buy-sell agreements, including:

• Mandatory Purchase Requirements
• "Call"-Type Options
• "Put"-Type Options