When a business is the major asset in a divorce, we realize how important it is to protect your financial assets and protect their value. A family-owned and operated business is often a key element determining the future of the family.
Maintaining the business is especially difficult when both parties play an active role in creating and running it. The question then is who will run the company after the divorce is final.
More common is the situation where one party runs the company and must find other assets to compensate the spouse for the loss of the business. In those instances, we know how to get very creative, finding ways to keep the company running and thriving while satisfying the party who will no longer have an interest in its survival.
Nothing is more threatening to the success of a business than the uncertainty of the owners’ divorce. Customers want to know if the business will continue to serve their needs. Potential customers hesitate to make commitments. Employees worry about their jobs.
Unless the company has a written policy covering succession, there can be questions about whether one party can even become an active owner. We have dealt with all of these instances repeatedly over our careers, and we know how to create the greatest protections for our clients.