If you are a business owner who plans to get divorced, there are things to consider that can affect your company. From losing your business to being forced into a partnership with your ex-spouse, a divorce might put you in a compromising position. In this blog, we talk about some of the ways your business can be impacted by your divorce.
Depending on the context of your divorce, your former spouse can be entitled to half of your business and assets. This because your business can be considered a marital asset in the financial analysis of your divorce. Marital assets are generally thought to be assets that were owned by one or both spouses during their marriage. This includes things like savings, real estate, debts, and business ventures. There are four exceptions to marital assets:
- Gifts & Inheritances
- Assets Acquired Before the Marriage
- Assets Acquired After the Marriage
- Assets Protected by a Prenuptial Agreement
If your business was started or built during your marriage, it will likely be considered a marital asset in your divorce. If your business was started before your marriage, it will have a non-marital value. However, if your business grew throughout your marriage, its marital value will increase. Finances from your business that are put into savings are also considered marital property. Investments and retirement savings accumulated up to your separation can also be equitably divided.
Getting divorced is stressful enough, but the fear of losing something you have built for years only adds to your worries. This is why it is important to consult with an experienced attorney if you own a business and plan to get divorced. A skilled attorney can help you protect your business assets and create a legal strategy that fits your particular needs.
Are you going through a divorce? Worried about how it will impact your business? Contact our Clarksville team of divorce attorneys to set up a free consultation today.