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How to protect your business during a Georgia divorce

A lot is at stake in most cases when couples decide to end their marriage. Each spouse’s financial future is just one situation that can change drastically during a divorce. However, business owners here in Georgia also have to worry about how divorce may affect their livelihood and the future of their company. Planning ahead may help minimize the damage to the business if the relationship goes south later on, but there are also steps that can be taken if a divorce is already in progress.

A business owner who is considering marriage may find it beneficial to learn more about protecting his or her business with a prenuptial agreement. This ensures that the business is kept as individual property so it cannot be divided up among the marital assets in the event of a divorce. If it’s too late to consider a prenup, a postnuptial agreement may be an option for protecting business assets.

If no steps have been taken in advance of a divorce, there are still some options to consider. If the business is considered a marital asset and will be divided as such, the owner of the business may opt to buy out the spouse’s share. It is up to each individual business owner to weigh available options for doing this, whether the goal is to buy out immediately or through a payment plan.

With the high rate of divorce here in Georgia and across the nation, business owners in our state would do well to protect all of their hard work. Not doing so can lead to an uncertain fate for the business if divorce does occur. Business owners may find it helpful to seek assistance and advice in order to help them determine the best course of action.

Source: Nashville Business Journal, How to divorce-proof your business, Rosemary Frank, Feb. 19, 2014