Although divorce is never easy, it can happen to any one of us. When you are a business owner, filing for divorce can seem even more complicated. Knowing how to navigate through these difficult times will help protect you and your business. Below are the top five divorce tips for business owners.
Act promptly
There is no denying that divorce can be a tricky and devastating moment in your life. However, you don’t need to prolong the inevitable. Some people make the mistake of dragging their feet despite knowing that the relationship is over. Ensure you start handling the divorce proceedings as soon as possible. There is no sense in continuing to build a business in a way that will increase its value in the divorce.
Always keep records
During a divorce, it is important to have excellent records to ensure successful settlement negotiations. If a company or business is marital property, its value will be determined during a divorce. You will need to have proper financial records to determine the value of the business. If child support is also in question, the business-owning spouse will have to prove their income using proper documentation.
Never mix business and personal expenses
Do not use your business account to handle personal payments such as vehicles, cell phones, clothing, meals and rent. Using your business funds to pay for personal expenses will lead to the assumption that your financial records may be inaccurate, and the divorce may become more contentious than it needs to be. You will complicate everything including child support calculation, business calculation and amount of spousal support.
Get a post or pre-marital agreement
A well drafted pre-marital or post-marital agreement can help ensure that the divorce process is quick and easy. If you don’t have a pre-marital contract, then a post-marital contract is your best solution. It usually dictates how the spouses will handle business assets.
Hire experienced attorneys
Having a business will make the divorce settlement much more complicated. Having experienced legal counsel will help you handle all business facets confidently and faster. Understand that legal counsel will ensure all your financial concerns are properly handled.
Conclusion
Going through a divorce is a very difficult time. However, having experienced attorneys can take off all the pressures. You can focus all your attention and time on your children and family during these times. The job of a lawyer is to help you take all the emotion away from the divorce settlement. Remember your business should remain intact and thriving, despite the divorce.