For business owners, divorce affects two major mainstays in their lives – their relationship with their spouse and their relationship with their company. They were not able to protect their marriage, but they must understand that protecting their business is essential.
Understand, though, that your company will not be the same post-divorce. But different scenarios raise different issues. Perhaps you started the business before your marriage, or you launched it together as a couple.
Protecting your company
Here are some issues that business owners must contend with while going through divorce:
- Eroding attention to the company: A business owner faces distractions caused by attorney meetings and negotiations for a settlement. As a result, your focus has temporarily turned away from your company, and business may suffer.
- Protection of your business is crucial: Ideally, any business owner would have implemented protective measures well before a divorce. This may be done in either prenuptial or postnuptial agreements. These discussions may be uncomfortable, but necessary if you want to protect your company. You know that you have devoted a great amount of work to grow your business. It is only natural to put in the same amount of work to protect your business.
- Sell your share of the business, buy out your spouse or continue to work together: In cases in which you and your spouse launched the business together, you have at least three options to consider. Selling your share of the business to another party may even be necessary as part of the divorce agreement. As long as you can come to an agreement, buying out your spouse is another choice. Finally, some divorced couples may even choose to continue to work together.
Continuing to oversee your company or moving on to another business venture are both possibilities when a business owner divorces.
Patience and hard work continue
There is no doubt that divorce will affect the business if it is part of the settlement. You must understand that several key issues will come to the forefront. Protecting your business is critical and doable. Patience and the hard work you already have done will continue to play major factors.