Updated: Nov 24
In the series "P's of Mind"
It's is common practice that part of the financing of a take-over is financed by the previous owner. The transfer of all shares/value of a business is normally contingent of the compliance of payments, with as a guarantee for the previous owner that he may take back 100% of his business in case the buyer fails a payment.
Therefor, make sure to comply with the agreed upon payments schedule and keep the previous owner at arm-length and informed in case any unforeseen events may occur!