Share

Family and Criminal Law Blog

Thursday, October 12, 2017

Divorce and Your Family Business

Who will keep the family business in a divorce?

Divorce can be messy and complex for anyone, but if your spouse is also your business partner, divorce presents a unique set of challenges.  Many happily married couples who start a family business never take the time to contemplate the possibility of divorce.  Without advance planning, your successful business may become a point of contention in your divorce.  Our West Texas divorce lawyers at Navarrete and Schwartz, P.C. explore the possibilities for division of your family business in a divorce.  

Your Options For Your Business During a Divorce

Deciding what to do with your family business in a divorce is never easy.  There are three general methods for handling a business during a divorce.  These include:

  1. Continue to run the business together:  For divorcing spouses that may still be able to work together, it could be a viable option to continue to own the business together.  This option allows both of you to maintain your interest in the business. It allows you to forgo the need for a business valuation, which can be costly.  However, it will require that you maintain a close working relationship with your ex, which does not work for many.

  2. Sell the business:  For many couples, the best option in a divorce is to sell the family business and split the profits.  You will need to have a business valuation and negotiate for a fair division of the proceeds of the sale.  Be prepared, however, for your business to take some time to sell.  Have a plan in place for running the business while it is for sale.

  3. Buy out your ex-spouse’s interest in the business:  Rather than selling the business, it may make sense for you to purchase your ex-spouse’s interest in the business so that you can continue running it.  Once the business has been valued, you can either buy your ex-spouse’s shares or use other marital assets for an even exchange.  This option will of course require your ex-spouse’s agreement to sell his or her shares.

Anyone who owns a family business and is contemplating divorce should consult with a licensed divorce attorney as soon as possible.  Deciding what to do with your business in a divorce can be difficult, but with the help of your lawyer you can select the strongest option for your future.  


Archived Posts

2023
2022
2021
December
November
October
September
August
July
June
May
April
March
February
January
2020
December
November
October
September
August
July
June
May
April
March
February
January
2019
December
November
October
September
August
July
June
May
April
March
February
January
2018
December
November
October
September
August
July
June
May
April
March
February
January
2017


Navarrete & Schwartz, P.C. is located in Midland, Texas and serves the surrounding cities and counties, including: Odessa in Ector County, Andrews County, Martin County, Howard County, Winkler County and Crane County.



© 2023 Navarrete & Schwartz, P.C. | Disclaimer
505 N. Loraine Street, Midland, TX 79701
| Phone: 432-279-1479

Family Law | Criminal Defense | Wills | Adoption | Child Custody | Divorce | Domestic Violence | Child Support | Stepparent Adoptions | Divorce Mediation | Assault | Felonies | Misdemeanors | DWI/DUI Defense | Burglary | Domestic Violence Defense | Spanish - Burglary | Spanish-Criminal Defense Overview | Drug Crimes | About Us

-
-


Skyline Photography by Steven Tippett Photography