Divorce is messy, but one factor that consistently makes it more so is when there is a business involved. If you are facing a divorce involving business ownership, it is important to have a solid strategy in place, and the surest way to accomplish this is with an experienced Temple divorce attorney in your corner.
If you came into the marriage with a business in tow – or your spouse did – you may think that the matter is settled, but as with nearly every element of divorce, it’s far more complicated than that. For example, if the business morphed into a family business that you both helped run, it is very likely no longer considered separate property (which must remain separate throughout the marriage in order to retain this classification). Even, however, if the business was kept carefully separate throughout your marriage, any increase in value – which is exceptionally common – is very likely marital property that will need to be divided equitably upon your divorce.
The Business’s Value to You
While determining the value of your business for divorce is critical, it can also be exceptionally complicated. For example, there is the value of the business to you and your personal finances (which might go beyond what its value on the market might be). If you have poured your time and effort into the business and it is also your source of income, walking away can have far more financial consequences than your equitable share in the business’s value can make up for. In other words, there is a lot to consider.
Obtaining a Business Valuation
Before you can move forward with the division of your marital property as it relates to your business, you will need a business valuation that you both trust, which can be a tall order. Your options here include:
Agreeing to hire a business valuator whose final valuation you will both accept
Hiring separate business valuators and rectifying any differences in value that arise
Because a business is so much more than just a value on a piece of paper, divorcing couples often have to dig deep in order to find a way forward. Some of the most common options include:
Both spouses retaining their interest in the business and continuing to own it and run it together post-divorce
One spouse buying the other out with other marital assets or through refinancing
One spouse buying the other out over time
One spouse continuing to run the business, while the other retains a specified financial interest in the enterprise
Reach out to an Experienced Temple Divorce Attorney Today
If you are facing a divorce that involves a business, Brett Pritchard atThe Law Office of Brett H. Pritchard in Temple, Texas, is a formidable divorce attorney with a wealth of experience guiding clients like you toward beneficial case resolutions that protect their financial rights. Our dedicated legal team is here to help, so please do not wait to contact or call us at 254-501-4040 today.