Protecting a Business in a Divorce
Divorces are common in the U.S. and your business is one of the most expensive assets you would need to protect during your divorce proceedings in Illinois. The share of your ex in your business depends upon different circumstances. Depending on the situation surrounding your particular divorce case, your ex could be entitled to at least half of your business.
Follow this short guide developed by an experienced divorce attorney in Chicago area if you wish to protect your business from an impending divorce.
Get a Fair Valuation
With divorces being so common, if you own a business, you will need to immediately conduct a business valuation.
Accurate and fair valuation is essential – you need the valuation in court to help decide how to split assets. Clients have the option to use a court appointed evaluator or hire their own professional.
A Prenuptial Agreement
If your partner agrees to sign it, a prenuptial agreement is one of the most effective ways to protect your business. If your partner agrees to a prenuptial agreement, the terms and conditions of the agreement will help protect your business during your divorce.
Offering Alternative Options
In the absence of a prenuptial agreement, if your ex wants a part of your business, then you and your attorney could offer him/her other assets, under condition they agree to withdraw their share in the business. You could offer a house, car, retirement accounts, any other property or an item of high monetary value. If they agree to give up their share in the business in return for any other assets, then it’s a win-win situation for both parties.
Phasing Out your Ex from the Business
If your partner plays an active role in the business up until the end of your divorce, there is a major chance he/she will get a huge chunk of your business. If you feel the marriage isn’t working, to protect your business, you will be required to phase out your partner from your business. In such a scenario, hiring a seasoned divorce attorney is your best option to protect your financial interests during your divorce proceedings.
If you wish to learn more about protecting your business during a divorce and other family law issues, or want to schedule a free consultation, contact Law Office of Fedor Kozlov at 847-380-3771 to speak with an experienced divorce and family law attorney.