Spouses sometimes opt to start a business together as a way to support the family. This often takes considerable work and effort from both parties, and it likely will be a major source of pride. But most people don’t stop to consider what will happen to that business if the owners go through a divorce.
The fate of the business will have to be determined by you and your ex. You may opt to close or sell the business, but there’s also the option of keeping it and continuing to run it as business partners. There are several things to consider you’re thinking about utilizing this option.
Setting clear terms and expectations
You and your ex need to have a clear understanding of what each person will be responsible for taking care of. Coming up with a detailed agreement can help to prevent potential problems in the future.
The terms related to finances also have to be set. This includes how expenses for the company will be handled. Compensation terms, such as pay and benefits, should also be set so there’s no question about what each person will receive.
Determine dispute resolution methods
Disputes are bound to happen, just as they would with any partners. Having the resolution terms outlined can help you and your ex know exactly how to approach these situations.
The business is only one small part of what you’ll likely have to address during the divorce, so it’s critical that you think carefully about each decision that comes. It may be beneficial to work with someone who’s familiar with these matters so they can assist you with learning your options.