When you get divorced, an important part of the court process is splitting up your marital property. In some cases, you can just divide property evenly. But in other cases, you may have to sell it so that you can divide the earnings. For example, this is why many divorcing couples will sell their family home.
You and your spouse, however, may be business owners. You started the business together and you both work there, running it and managing the day-to-day operations. Does this mean you’re going to have to sell the business now that you’ve decided to get a divorce?
You could buy your spouse’s share
You certainly can sell the business if you want, and it is tactic that many people use because it makes things relatively simple. But if you would like to continue owning the business after your divorce, one option would be to buy your spouse’s share of that company.
It can be expensive to do so. You may need to find other investors or get a business loan. But you also may be able to trade other assets, such as allowing your ex to have the retirement account so that you get to keep the business.
You can keep working together
Another thing to consider is that some couples may decide to continue working together as business owners, even after the divorce. Legally speaking, there is nothing preventing you from doing this. If you’re involved in an amicable split, it may be very natural to keep working as business partners.
If you decide to do this, however, it’s wise to create an official partnership agreement.
Working through your divorce
A divorce between business owners can be complex. Make sure that you know exactly what steps to take as you work through this process.