Accounting For Business Assets In Divorce
A closely held business often represents a key asset – and source of friction – in divorce. A satisfactory solution that protects your interests requires accurate valuation and sound negotiating strategy.
The Marietta divorce lawyers of Hill Macdonald, LLC, can knowledgeably address the complex issue of businesses as marital property.
- We represent business owners and business partners who want to protect their financial stake and shield the commercial entity.
- We counsel nonowner spouses who are entitled to equity considerations in a spouse’s business.
- If you and your spouse have built a business together, we can work through the various options for moving forward.
Our attorneys are well-versed in Georgia family law, with backgrounds in business and accounting. We have long experience with business valuations and buyouts in the context of divorce.
Business Valuations And Creative Solutions
We can recommend business valuation specialists who will determine what the business is worth. Ideally, you can agree to abide by one appraisal. Hiring competing experts increases the expense and requires litigation to decide upon a dollar figure.
The next question is the proportion of spousal equity. If the business was owned prior to marriage, only the increase in value may be considered marital property. If the business was formed during the marriage, the spouse may be fully vested. This is an oversimplification of complex legal issues that may end up in court.
Lastly is the matter of what to do with the business. Is there a buy-sell provision triggered by divorce? Will the business assets be liquidated and divided? If the business will continue, the spouse must be compensated accordingly through alimony, cash settlement, the house or other marital assets, or some combination thereof. We can help engineer a settlement that best protects your business interests and goals for divorce.
Sophisticated Counsel And Representation
Vic Brown Hill and Brad E. Macdonald have 25 years of collective experience in divorce litigation, including many cases involving partnerships, professional practices and family-owned businesses. We invite you to contact Hill Macdonald online or call toll free at 770-679-2177 to arrange a consultation.