As a business owner in New Jersey, you’ve likely poured your soul into ensuring your company is successful. However, the future of your business may be called into question if you and your spouse decide to file for divorce. Unfortunately, you’ll find that navigating this process can be incredibly difficult without the assistance of an experienced Somerset County business valuation attorney. If you are going through this process, the following blog explores what you can expect to happen to your business, including the steps you may be able to take to protect yourself during this matter.
How Is a Business Handled in a New Jersey Divorce?
Going through a divorce as a business owner can be incredibly complicated to navigate. As such, understanding how your divorce will be handled is critical to taking the necessary steps to best protect yourself during this process. In general, you’ll find that the first matter at hand is to determine whether or not your business is separate or marital property. In general, if you’ve established your company prior to your marriage, it will be considered separate property, meaning it will not be subject to distribution during your divorce. However, if you established the company after your marriage, you used marital assets to grow the business, or your spouse contributed to the company’s success, it can be considered marital property and thus will be distributed between you and your spouse.
In the event your company is marital property, it’s important to understand what your options are. Generally, the most common outcome is to buy out your spouse’s share of the business. However, you can also compromise by giving your spouse assets of equal or higher value. In the event you and your spouse are on amicable terms, you can also contine to run the business as co-owners.
What Steps Can I Take to Protect My Company?
Generally, one of the most important things you can do to protect your business, unfortunately, occurs before marriage. Establishing a prenuptial agreement is a surefire way to establish your company as separate property to ensure you can retain control over the asset. However, you may be able to create a postnuptial agreement, which functions similarly to a prenup, with the only difference being that it is established after you are married.
If you don’t have a pre- or postnuptial agreement in place, it’s imperative to understand that you still have options. Working with an experienced attorney can help you fight for the best possible outcome for your divorce.
At the Siragusa Law Firm, our dedicated legal team will do everything in our power to help you navigate these overwhelming and complicated issues. If you need help navigating these complex issues, do not hesitate to contact our firm today to learn how we can fight for you. Connect with us today to learn how we can fight for you and the best possible outcome for the business you’ve worked hard to establish.