Getting divorced definitely means that life is going to change. At the very least, you’re going to have to divide your assets with your spouse. If you have children, you may also have to consider child custody arrangements. Things are going to be different.
Is this transition also going to impact your business life? Perhaps you and your spouse are business owners together, running a company that you started after you got married. Does getting divorced mean that you’re going to have to sell your family business and start over?
Selling is only one option
Many people do decide to sell a family business when they get divorced. The reason for this is that it’s the easiest way to divide a non-financial asset. If they sell the company to someone else, they can simply divide the money that they earn or otherwise leverage those funds as the divide the overall value of their marital estate. If they try to divide tangible assets belonging to the business, it’s a more complex undertaking.
But don’t assume that you have to sell the business. For instance, maybe you want to keep your half of the company and buy your spouse’s half. This would leave you as the sole owner of that business after the divorce. You may also be able to barter with other marital assets. For instance, maybe your business and your family home are worth roughly the same amount. Your ex wants to keep the house and you want to keep the business, so you agree to divide that property accordingly.
Furthermore, you and your ex don’t even have to end your business relationship. There are cases where a couple will get divorced and continue to work together afterward. You just need to decide if you can change your relationship into a professional one, rather than a personal one. Business owners will sometimes do this if they know that the company is going to be very profitable with both of them there, and they don’t want to lose that profitability just because their romantic relationship is coming to an end.
Considering your options
As you can see, there’s a lot to think about when you’re getting divorced, especially if you own a business with your spouse. Be sure you understand all the legal options at your disposal by seeking legal guidance as proactively as possible.