What Happens to a Divorcing Couple’s Shared Business In New York?
It’s not uncommon for people to work with their spouses or even run a business alongside each other. Including a jointly-owned business in divorce proceedings, on the other hand, might make the separation process far more difficult. Even if your marriage didn’t work out, if you operate a business with your ex, you may be forced to make at least that component of your situation work as best you can.
There are several factors to take into account while making decisions concerning the operation of a co-owned business. Here are several and where to get legal help when you need it.
Continue to Co-Own the Company
If you can collaborate with your ex on a business-only basis, both parties may be able to keep their position in the company. If you can accomplish this, you won’t need to analyze the value of your organization to divide shares or dissolve it. This resolution does, however, need you and your former spouse to be on reasonably cordial terms, which some couples going through a highly contentious divorce may not be able to do.
One Partner Can Purchase the Shares of the Other
If both you and your ex-spouse can no longer work together, your business will be recognized as any joint property in a divorce. Initially, you’ll need to hire a competent appraiser to assess your company’s worth. Once the overall value of the organization has been agreed upon, one spouse can buy the other’s share in the business, or other assets of similar value can be transferred as a substitute.
Sell the Business and Divide the Profits Between Both Parties
If neither spouse wants to manage the company any longer, you can disintegrate it completely, sell it, and divide the earnings equitably. How the proceeds from the organization’s sale are distributed is largely determined by how the business is organized, who made the initial investment, and which spouse handled most of the day-to-day operations.
Get Help Today from an Experienced Brooklyn Divorce Lawyer
If you own a business with your soon-to-be-ex, your divorce is going to be significantly more complex. You need a veteran New York divorce attorney who can help you navigate this particularly difficult chapter of your life. Contact Mary Katherine Brown today for a consultation at (718) 878-6886. Our team is available now to book your appointment.Posted in : Uncategorized ,