Get the Facts About How a California Divorce Can Affect Your Business
Posted on: November 11, 2021
Divorce may be difficult for any marriage, regardless of their circumstances. It’s much more challenging if you run a business. Divorce can have an impact on a business’s ownership and leadership structure, as well as its assets and day-to-day operations. It’s critical to understand how and why divorce impacts companies so you can prepare for and handle issues before they become a problem for you and your company.
Keep reading to get the facts and then contact Law Office of Michael L. Fell at (949) 585-9055 for a free legal consultation.
Continual operations
As a marriage approaches its demise, it will consume a significant amount of your time and attention. Trying to manage a company while coping with the stress and uncertainty of a divorce may be overwhelming for some people.
Meetings with attorneys and compiling financial and legal documentation can consume a significant amount of time. If divorced couples manage the business together, they may begin to differ on fundamental topics and have difficulty working together. All of this may have an impact on a company’s day-to-day operations, stifling growth and even lowering income and productivity.
The greatest method to keep your divorce from hurting your business’s everyday operations is to keep them as distinct as possible. Even from a mental aspect, concentrating entirely on work while at work might assist you in being organized. To keep track of important chores and reminders, use lists, planners, and calendars.
If feasible, delegate part of your responsibilities to your staff to free you time for divorce-related concerns. Enlist the assistance of your accountant and attorney to ensure that you are considering all aspects of your divorce, including how it may affect your business. Delegating responsibilities and keeping them structured can help safeguard your business’s day-to-day operations.
Assets and ownership of a business
Any assets and property acquired during a marriage are considered marital property in California and must be distributed fairly. This might include your business if you started it during your marriage, put marital assets in it, or had your spouse help you build it. In the event of a divorce, your share in the firm may be divided. You’ll need to work out how to allocate this to your spouse, as well as how it will affect your company’s stake, stock value, and other factors.
When it comes to company assets and ownership in a divorce, a forthright talk with your attorney is a great place to start. Compare and contrast your aims for the firm and your interest in it with those of your spouse. Examine how various circumstances and techniques could affect your business and personal finances in detail. Using all of the information available, you and your attorney may devise a strategy to assist you achieve your objectives.
This is not a situation you want to walk into alone. Contact Law Office of Michael L. Fell now at (949) 585-9055 to learn how we can help protect your business.
