I-9 Compliance

Crossing the 'T's and dotting the I-9s - why it is important to you.

As a seller this is an easy way to lose value in the sale of your company if you put the risk on the buyer that some employees might not have fully completed I-9 forms or worse, their documentation indicates they may be an undocumented foreign national. This causes the buyer time and money in hiring and training replacements - and will result in a lower sale price for your company than you deserve.

Why does the buyer care about I-9 forms?

A buyer needs to determine whether any acquired foreign nationals (including key employees) will be able to transfer seamlessly into the new entity, but also what to do about compliance with the Form I-9 Employment Eligibility Verification. They have a choice of assuming your paperwork and treating employees as if nothing has changed for them or the buyer can require all employees to fill out new I-9 paperwork if they feel your company practices were deficient. In the eyes of the INS they will reject an I-9 form as invalid for small errors such as using a nickname on the form in place of an employee's given name and many buyers will apply the same standard.