When couples in Pennsylvania divorce, financial concerns are quite common. Issues to be decided during the divorce often involve the division of assets, including real estate and retirement plans, as well as the negotiation of both spousal and child support. When one or both spouses own a business, however, this aspect of ending a marriage can become quite complex.
Business owners face several considerations when getting a divorce. In some cases, only one spouse owns the business while some couples own the company jointly. Contrary to what some people may think, however, even sole ownership of the business does not necessarily protect it during a divorce. In cases of joint ownership, there are considerations regarding what happens to the assets of the business and who continues in a leadership role.
In some cases, the spouses are able and willing to continue working together in a business even though they are no longer married. Another option is for one spouse to buy out the other spouse’s share of the business. One difficulty that can arise is that if the business is the primary source of income for a spouse or the couple, any action that jeopardizes the integrity of the business can have a negative financial impact on the couple or the spouse who is also a business owner.
Business owners who are concerned about the impact of a high-asset divorce on their finances may benefit from speaking with an experienced family law attorney. The lawyer may be able to review the client’s situation and make recommendations that can protect the business and allow it to operate normally even as the client negotiates an equitable financial settlement with his or her former spouse.