If you and your spouse own a business together, things may go smoothly as long as you’re married. But if the two of you decide that you’re going to get divorced, that can make things much more complex. After all, the business that you own jointly is likely a marital asset. You both have ownership rights, so it has to be divided.
Fortunately, there are a few options for couples who are looking to do this. It will just depend on the unique details of your situation.
Selling your company
The first option is just to sell your company entirely. Both of you give up ownership, but you make a significant amount of money in the process. You then split the money and move forward with the divorce.
Buying half of the company
Another option, if one of you wants to maintain your position as an owner of the company, is to buy out the other person‘s ownership. This can be expensive, but you may be able to do it by using loans, investors or even giving up other marital assets, such as a retirement fund.
Continuing to work together
Finally, couples can keep working together even after they get a divorce. You don’t have to sell the business. Not all couples find this practical, as a high-conflict divorce may make it impossible. But if you are still on relatively good terms, then you could establish a partnership agreement and continue to work together.
Determining what to do with the business is only one step to take during your divorce. Be sure you know what legal options you have.