When a marriage is just not working, often divorce is not the first viable solution. Couples who have created a family, home, and even a business together will generally try everything from counseling to talking with religious leaders in order to preserve their lives. If a married couple with a family business ultimately does decide to part ways, they are going to need more than a standard separation agreement.
What It Means for the Rest of Your Family
More times than not, when a marriage is dissolved, the family business is not far behind. Other relatives such as grandchildren and children will be impacted, especially if they were workers or joint owners. Yes, getting divorced and potentially selling the family business is going to have an effect on your loved ones. They should know what is going on well before you get a divorce, as it just would not be fair for them to be in the dark. Discuss with your family how you may go about splitting up the business, and how the proceeds will be doled out. This way, your relatives will not feel like they have to pick a side and you can keep everything amicable.
How Much It Will Cost to Buy Out Your Former Spouse
In most instances, divorcing means splitting and divvying up every part of your life, from your home all the way down the sharing time with your children in common. If your family business happens to be one that was established before you got married, it can feel scary to leave your marriage and also dissolve your business. Another option for many divorcing couples is for one to buy the other out of the family business. This company is valued for property division and mediation skills, which are both essential skills that you want to seek out in a law firm. It can ultimately be quite expensive to buy out an estranged spouse, but if you are intent on retaining the family business, you need to pay them upfront for whatever their share is.
Ways You can Get Your Fair Share
Prior to signing the paperwork that will finalize your divorce, you should be confident that you are getting your fair share of the jointly owned family business. The person that will know this information is none other than your attorney. Moreover, an attorney can help you with appraisal issues and get you in contact with industry experts. Realize that selling a company and getting the most value is all about timing. If you divorce during an economic downturn, it is possible for both parties to leave with way less than they originally thought. So, you can ensure that you get your piece of the family business pie by working with an attorney instead of going pro se.
Divorces take time, as does selling a family operated business. You might need to attend depositions and talk to appraisers. You will probably answer many questions about your personal and business finances. Your soon to be ex-spouse will definitely be working to protect their interests; however, a divorce involving a co-owned family business can be very simple. Hire a lawyer with a background in these kinds of cases and then look towards the future.