Business owners often invest a great deal of time and money into building a successful enterprise. You might have started your business at an early age, and at the time, it may have been small, but perhaps now it has flourished financially. You are likely extremely proud and relieved that all your effort has paid off, but perhaps you haven’t given thought to what might happen to it in the event of a divorce.
If you are facing the end of your marriage, chances are you might worry about how the process will impact this crucial asset. You will probably want to secure the future of your enterprise, but you could be in need of guidance and assistance in the process.
Protecting the future of your business
In equitable distribution states, such as Utah, the division of assets doesn’t necessarily have to be equal, but it must be fair. Perhaps considerable amounts of your assets are tied up in your business, yet you are reluctant to relinquish partial ownership to your spouse. You will probably want to consider available options to secure its future, such as:
- Co-ownership: You could attempt to continue as business partners with your spouse. This could be an excellent option for the overall health of your business. However, it can also be extremely challenging following divorce.
- Buyout agreement: You might consider negotiating an agreement to buy out your spouse’s business interests, whether immediately or over time.
- Loan: If you are looking for a more immediate solution, you could consider taking out a loan to buy your spouse’s share of the business.
- Partner: Perhaps you have explored several options, but so far, you are coming up empty. You might consider adding a partner to help secure the longevity of your enterprise.
However, if you and your spouse signed and executed a prenuptial agreement before marriage, it will likely dictate what will happen to your business during divorce. Either way, you will probably want to obtain advice from someone who is knowledgeable of the division of complex assets, such as a business.
Advice throughout the process of divorce
Divorce can be an extremely emotional and challenging process for everyone involved. Despite how intimidating it may seem, you probably don’t want the business you worked so hard to build come to harm. By speaking with an attorney, you can obtain advice on how the process might affect your business, as well as advice on available options and their potential outcomes. A family law attorney can address your concerns and subsequently help you pursue the most favorable outcome possible concerning the future of your enterprise.