As joint business owners, you and your spouse have been working together for years. You started the company together and you are co-owners. This makes it convenient to work together, and this is your main source of income.
That’s why, when your spouse asks for a divorce, you’re very concerned about the future of that business. After all, it is a marital asset. It needs to be divided between the two of you because you both have ownership rights.
The easiest way to do this is to sell the company and divide the money, but you may not want to lose the company you’ve worked so hard for – or your source of income. Are there any other options?
You do not have to sell
It’s not always necessary to sell the business. For example, maybe your spouse wants to leave but you want to stay. You could simply buy their share of the company. You may need to trade other assets as you divide your marital property, or you may need to take out a loan or find investors to make this affordable. But doing so means that you would become the sole owner and you could continue working at that company.
Another option is just for you and your spouse to continue working together as you did when you were married. You can create a partnership agreement and become official business partners. If you do this, then you don’t have to sell the business at all. You just have to divide your other marital assets – your home, your retirement funds, etc. – and then you can keep working together.
Of course, this isn’t possible for all couples because it can be emotionally and logistically difficult. But this helps to show why it’s so important to look into your legal options.
