Divorce is a tricky business on its own, and when disputes about the company add fuel to the fire, the situation goes from bad to worse. Another layer of complexity, an extra battlefield for conflicting interests is the last thing you need when the emotional roller coaster takes you for a ride. To avoid this sort of entanglement, both parties must keep an open mind and give it their best to find common ground. This prevents the financial aspect and the divorce process from colliding and leaving destruction it their wake.
A splitting headache
A business operation is most often the biggest asset (ex) partners possess. As such, it gives rise to serious fray and conflict. And when emotions and self-interest take over, the financial health of the company is jeopardized. Now, note that assets acquired during marriage are considered to be marital, which means they get divided during the divorce. The non-marital property is the one obtained prior to the marriage, and is assigned to the spouse who acts as an owner.
Money on your mind
However, things like business expansions add another dimension to the separation of business interests. Here the source of funding is paramount, a key element which establishes the nature of the extended portion. Furthermore, a compensation one spouse earns in the business is always marital, and he or she cannot be forced to leave the company, unless improper, business-damaging behavior is displayed.
Marital business, just like any other property of this type, is split between parties, as the court sees fit. It is important to realize that the concrete solution often does not take the form of division. Namely, one of the most common solutions is to leave the owner with the business, and compensate the other party with a share of assets. Naturally, things run smoother when parties make an effort to set emotions aside and find common ground.
Then, more options are at the table, such as sharing the income or dividing the shares. Even if that is out of the picture, know that there are many ways to make your life easier. For example, in Oregon divorce papers can be delivered online by the attorney, which streamlines the process and saves you both time and money. Controlling the costs serves as a buffer against financial shocks that could ruin your business or personal budget.
The real value
The financial settlement usually requires the process of business valuation to take place. In case of shared business interests, either of the partners can arrange it. On the other hand, if only one side has ownership rights, he or she must ask for a valuation. Beyond initializing, this process is determined by the business structure, its financial picture, and related assets.
One party can take a look at a company’s books, and decide whether a further investigation is needed. This drags the whole procedure, and potentially drains the resources. Thus, it is advisable for couples undergoing a divorce to refrain from taking unilateral actions, and to appoint a “single joint expert”. Besides that, bear in mind that there are other solutions for resolving disputes such as mediation. They do not include the hiring of experts, so explore all possibilities before committing to one.
For good measure
We mentioned earlier the convenience of online services in Oregon, but this is not an isolated case. Those who seek to file a divorce in California may also receive the whole divorce case online. This is probably most cost-effective solution you can employ, one which allows you to focus on the business side of divorce or dissolution, and safeguard your future better. Be aware of the consequences of your actions, measure twice and cut once.
Tools of the trade
Business division is a costly and detailed activity, and when the spouses remain uncooperative, the divorce is encumbered by their personal disarray. Well, digging into your heels may seem like the best way to protect your interest, but it only makes the process more complicated and expensive. Take legal advice before making a move, and develop a deeper understanding about the different stages and tools of the business division.