Private Buyer

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Dictionary Says

Definition of 'Private Buyer'

An individual or organization that is purchasing an asset and whose actions are not backed by a government or government agency. The private buyer is responsible for all costs associated with the transaction, and parties to the transaction can only pursue the private buyer for recourse in the case that there are problems with the transaction.
Investopedia Says

Investopedia explains 'Private Buyer'

Transactions with a private buyer typically carry more risk than those involving a public buyer, which generally refers to a government-backed entity.

For example, a private buyer might be a company that is purchasing the mortgage of a property. Because the company is not backed by the government, it does not have the "full faith and credit" that a governmental organization would. If the company fails to make mortgage payments, the party that sold the mortgage will not have the recourse of seeking payment from the government.
Search results for

'Private Buyer'

  • Finding The Best Buyer For Your Small Business

    http://www.investopedia.com/articles/pf/08/business-owner-sales.asp
    ... the price the seller could receive from such a party could be much higher than from
    a buyer with purely investment aims, such as a private equity buyer. ...

  • How To Invest In Private Companies

    http://www.investopedia.com/articles/basics/11/investing-in-private-companies.asp
    ... Conversely, it can be years before a private firm can again be sold and
    prices must be negotiated between the seller and buyer. ...

  • 5 Reasons Why You Still Need A Real Estate Agent - Investopedia. ...

    http://financialedge.investopedia.com/financial-edge/0510/5-Reasons-Why-You-Still-Need-A-Realtor.aspx
    ... can. But because they are licensed professionals there are more repercussions
    if they do than for a private buyer or seller. If ...

  • How can I sell private company stock?

    http://www.investopedia.com/ask/answers/06/privatecompanystock.asp
    ... Because private shares represent a stake in a company that is not listed
    on any exchange, finding a buyer may be difficult. The ...

  • BJ's Wholesale Looks To Go Private

    http://stocks.investopedia.com/stock-analysis/2011/BJs-Wholesale-Looks-To-Go-Private-BJ-COST-BIG-NDN-SHLD-FDO0609.aspx
    ... However, the 7% premium probably sounds low to some shareholders, given how private
    equity deals go. BJ's finding any buyer might be considered a positive by ...

  • Top Tips For First-Time Home Buyers

    http://www.investopedia.com/articles/mortgages-real-estate/08/first-time-homebuyer-guide.asp
    ... with any conditions you want to ask for, like having the buyer pay for ... other than
    the seller has a claim to the property, obtaining private mortgage insurance ...

  • What Is Private Equity?

    http://www.investopedia.com/articles/financial-careers/09/private-equity.asp
    ... and positioned finance professionals that have the extensive buyer networks and ...
    companies can offer significant financial upside to their private equity owners ...

  • Toro Not Exactly A Charging Bull

    http://stocks.investopedia.com/stock-analysis/2011/Toro-Not-Exactly-A-Charging-Bull-TTC-DE-BGG-SMG1206.aspx
    ... With reasonable valuations, either could make a certain amount of sense to a private
    buyer or a conglomerate like Berkshire Hathaway (NYSE:BRK.A). (For related ...

  • Why Public Companies Go Private

    http://www.investopedia.com/articles/stocks/08/public-companies-privatize-go-private.asp
    ... Covenants can specify exit dates, making it challenging to sell the investment,
    or private investors may easily find a buyer for their portion of the equity ...

  • How does privatization affect a company's shareholders?

    http://www.investopedia.com/ask/answers/05/publictoprivate.asp
    ... For example, if a shareholder owns 100 shares and the buyer offers $26 per share ...
    benefit to this type of transaction for investors, as the private group usually ...

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