On behalf of The Law Office of Gustavo E. Frances, P.A.
Do you own a business that you’ve spent years building in Florida? You need to protect this business, no matter its size, from divorce proceedings. There are steps you need to take to protect your business so that your spouse does not wind up as one of your business partners once the divorce goes final. Our Fort Lauderdale divorce attorney has the following tips for how you can protect your business from divorce.
Fire Your Spouse Now
Now is the time to fire your spouse, while the two of you are still married. Even if the marriage has begun to hit speed bumps you need to prepare for a possible divorce. The marriage might not end in divorce but you should still prepare like it will. How can you fire your spouse from your business? Begin fading them out of the daily operations of the business so they cannot argue during divorce proceedings that they had a larger operation and role in the success of the company.
Secure a Business Valuation
You need to have your business valued by a neutral party who has no ties to either one of you or any current ties to the company. If you have already started divorce proceedings you need to use a valuation professional who is appointed by the court. This will help you avoid any conflict of interest or ethical issues that could come back to haunt you.
Sacrifice Other Assets
Consider sacrificing other assets you have in your name in order to keep 100 percent of the business in your name. If you are truly in love with your company and don’t want to see it get into your spouse’s hands you might be comfortable giving up the marital home, cars, savings accounts, collections and many other assets to make him or her happy.
Take Home a Good Salary
There’s no reason you shouldn’t be taking home a good salary when you own a business. If you truly want to protect your business in a divorce you need to pay yourself a good salary. Let’s say you borrowed a lot of the family’s cash to make the business succeed. When it comes time to get a divorce your spouse will want their fair share of the business proceeds. Pay yourself a legitimate salary so you aren’t starving the family’s cash to help the business run.
Strong Records are Important
Record keeping is one of the most important parts of running a business. This becomes even more important when you are trying to protect your business in a divorce. Another smart tip is to never use any of the finances of the family for the business. For example, don’t borrow cash from the family checking account to buy a new truck or a new desk for the company. It’s better to take out a loan in the company’s name.
Are you planning on filing for divorce? Do you own a business? If you answered yes to both of these questions you likely want to do everything possible to keep the business out of your spouse’s hands. Call our Fort Lauderdale divorce attorney at 954-533-2756 to schedule an appointment today.