In the event that you and your spouse own a business together and intend on getting a divorce, the process can become exponentially more complicated. You also incur a lot of risk because you have more assets you could potentially lose if things don’t go your way. Here are some basics about Florida business and divorce law and how a veteran family attorney can help you.
Is the Company Marital Property or Separate Property?
First and foremost, you need to determine whether only one of you owns the business or if both of you have claim to it. Florida allows property in a marriage to be claimed as either separate or marital, with the latter referring to property that was attained during the course of the marriage by either spouse. Separate assets are those that one spouse owned or obtained before the marriage that have not had partial or full ownership formally transferred to the other spouse.
For example, if you started a business before you married your spouse, this business would be considered yours and your spouse would not have claim to the company itself. However, they may be entitled to a portion of the company’s revenue for the period of time during which you were married. If you started the business after you married your spouse, it would likely be considered a joint asset regardless of whether or not your spouse helped you.
How Much Is the Own a Business Worth?
If you and your spouse own the company together, you will need to figure out how each of you can be fairly compensated for your stake in the business. First, you should have a business valuation done to determine how much the business is worth at the present time.
One spouse may have the option to buy the other out and become the sole owner of the company. Or, it may be impossible for only one spouse to operate the business and it may become necessary for the company to be sold as a whole and for each spouse to receive an equitable amount of the proceeds from the sale.
Consult With an Attorney Today
If you’re an entrepreneur and are thinking about dissolving your marriage, get legal help now from a trustworthy Florida divorce lawyer by contacting Shazia Sparkman for a private consultation by calling 813-374-2000.
