You should request financial records for at least the to identify trends and verify profitability.
Ensuring the business is in "good standing" prevents you from inheriting undisclosed legal or regulatory problems.
: Federal, state, and local returns are the most reliable documents for verifying reported income and expenses.
: These reveal how profitable the business has been over time and help identify declining margins or disproportionate overhead.
: A snapshot of assets, liabilities, and owner equity to determine the business's net worth. 2. Legal & Organizational Documents