License / certification transferability (CPA, contractor, etc.)

What it is

Which professional licenses or certifications the business legally depends on to operate, and whether each one transfers to a new owner automatically, transfers with conditions, or has to be earned from scratch.

Why it matters

In licensed trades — contracting, liquor, healthcare, cosmetology, accounting firm ownership, and others — a business can be effectively worthless to a buyer who can't legally hold the license it depends on. Some states require a licensed "qualifying party" to be in place before a contractor can even pull permits, and gaps of months are common while a new license or qualifier is approved.

What to look for

• Licenses held personally by the seller rather than by the business entity
• No plan for how the business operates legally during any gap while a new license is obtained
• State-specific exam, experience, or residency requirements you don't yet meet
• Any license near expiration, under active review, or with a compliance history worth asking about