Getting a divorce is not something many married business owners in New Jersey want to think about. However, business owners should take the necessary steps to protect company interests in case a divorce does occur. They should consider it just as important as making sure that there are insurance policies in place for themselves and their loved ones in case the unexpected happens.
There is more than one way to establish the protections that can help avoid a combative situation between a business owner and their spouse regarding the business assets. There can be a formal mutually agreeable contract, or certain policies can be put in place that may help simplify any divorce negotiations.
Using a formal agreement, such as a prenuptial or postnuptial agreement, can be a way to achieve a favorable resolution for both parties and to reduce the stress they may feel during a time when they may be emotionally sensitive. The agreement can address a number of issues, such as the methods that would be used to assess the value of the business or the division of the assets.
Some specific terms may include asserting that the business is considered separate properly and cannot be divided. However, some business owners may also be open to stipulating that any value accumulated by the company during the marriage will be regarded as marital property.
An attorney who practices divorce law may work to protect the interests of a client going through a high-asset separation. Legal counsel may litigate to ensure that the client is able to retain ownership of their business assets after the divorce.