Reducing the Impact of Divorce on The Family Business

Going through a divorce in Boston can be overwhelming on its own, but facing this challenge when there’s a family business involved makes the process all the more complicated. Knowing how to minimize the impact of the divorce on the business can be helpful in order to continue moving forward personally and professionally.

The business will be valued during the process of determining assets. A financial expert will be brought in to review the books and questions could be asked about the business practices. This business valuation process can also be expensive and time-consuming in itself, so go in knowing what to expect. It can also be frustrating for employees to spend their time researching the information necessary to go through the financial valuation.

One of the most important ways to minimize the influence on the family business is to retain Boston legal counsel early. Knowing what to expect throughout the process is helpful and can also reduce anxiety about how the business will be divided in the end.

If you already own a business, it can be helpful to include details about it in a prenuptial agreement. This can protect the business in the long run. Where there are multiple business owners, a shareholder or partnership agreement can also outline what will happen if one of the members gets divorced. This is a good way to separate business interests from personal interests of a spouse.

If you don’t want to get trapped in selling the business, sometimes a settlement can be paid out over time so that the business interests are preserved while still meeting the terms of a negotiation. Make sure you’ve had a meeting with a Boston attorney to review all your documents and discuss business protection.