Divorce Tips for Business Owners

 Posted on July 10, 2019 in Family Businesses

One of the things that sets many high asset divorces apart from other divorces is the ownership of business interests by one or both spouses. Owning these types of assets can make the property division portion of high asset divorces much more complex, so if you and your spouse have decided to get divorced and either one of you owns a business, it is important to contact an experienced high asset divorce attorney who can help protect your interests.

Do Not Delay

Dissolving a marriage can be a lengthy, costly, and emotional process, so it is not uncommon for many couples who decide to end their marriages to delay actually filing for divorce. While this can temporarily delay the potential difficulties that often come with divorce, it will not eliminate them and can actually end up complicating the divorce process itself. For instance, Texas is a community property state, which means that all of the assets acquired by a couple during the course of a marriage are subject to equitable division. This includes not only assets like real estate and personal possessions, but also any increase in their company’s revenue, profit, and income, so the longer a couple waits to dissolve their marriage, the more they may end up needing to divide during the property division process.

Keep Detailed Records

One of the best ways to ensure that any divorce-related property settlement agreement is fair is to provide the court with detailed business records. These records, including bank statements, invoices, contracts, and bills related to monthly expenses can help establish the value of the business in question, as well as its equipment and assets. Pay stubs and paychecks can also be used to establish income, which can play an important role in determining child support and alimony.

Create a Postnuptial Agreement

Couples who own business interests before marriage often choose to enter into prenuptial agreements to protect those interests in the event of divorce. Fortunately, even when a couple did not execute this type of agreement before their marriage, they can still create a postnuptial agreement after the wedding has taken place. These agreements can help facilitate the resolution of any property disputes by designating how the parties will divide ownership in those business assets upon divorce. However, these agreements must be executed properly before they will be considered valid and enforceable, so it is important to speak with an attorney before entering into this type of contract.

A Dedicated Round Rock High Asset Divorce Attorney

For help handling your own business interests during a divorce, please call the dedicated Round Rock high asset divorce lawyers at Powers and Kerr, PLLC today. You can reach us by calling 512-610-6199 or via online message.

Sources:

https://www.entrepreneur.com/article/220124

https://www.huffpost.com/entry/essential-steps-to-divorc_b_10725652