Divorce presents unique challenges for small business owners. If you built and grew your business during your marriage, ownership and control of that business will be a key issue in your divorce proceedings. Ensuring your business operates smoothly during this transition is critical, and from the moment you meet with your attorney, safeguarding your business should be a top priority.
Maintaining Control of Your Business
Beyond the divorce itself, you need to ensure you can continue running your business effectively. The court will assign a value to your business, and it’s essential that this valuation is accurate. An inflated valuation could force you to compensate your spouse based on future earnings, creating financial strain long after your divorce is finalized. Hiring a skilled attorney can help ensure your business is fairly valued, preventing undue financial burdens.
How Texas Courts Handle Business Assets in Divorce
In a Texas divorce, businesses are considered assets subject to division, much like property or financial accounts. The court may:
- Award the business to one spouse
- Divide ownership between both spouses, requiring them to continue running it together even after the divorce
- Grant one spouse partial ownership, effectively making them financially tied to the business indefinitely
A crucial part of protecting your business is documenting each spouse’s role in the company. A skilled attorney can present a compelling case to the court, ensuring that any compensation awarded does not jeopardize your control or the future success of your business.
Establishing Your Business as Separate Property
If you owned your business before marriage, proving it is separate property is one of the strongest ways to shield it from division in a divorce. However, your spouse may argue that the business is a marital asset, particularly if it grew significantly during your marriage. An experienced family law expert can help defend your ownership and prevent unfair claims.
Trust Griffin & Cain to Protect Your Business During Divorce.
At Griffin & Cain, our top-rated Texas attorneys understand the complexities of protecting business assets in divorce. Our legal team works tirelessly to ensure your business remains in your control while securing a fair resolution.
If you’re facing a divorce and want to safeguard your business, contact a Griffin & Cain attorney for a Free consultation. Let us help you navigate this process while preserving the financial future of your company.
