Your Business and Divorce
Fort Worth Texas Business Divorce Lawyer
Divorce affects businesses differently, depending on the ability of the couple to maintain an amicable relationship after divorce. Our law firm has used collaborative law to assist couples who endeavor to maintain and run a business together after they have divorced or separated. From an economical standpoint, dissolution of a co-owned business may not be in either of the couple’s best interests.
However, despite heroic efforts aimed at continued cooperation in business, some couples find their divorce has created too much of emotional impact on their lives and is an impasse for ongoing joint commercial success. One spouse may need to buy out the other spouse’s interest in the business, or other arrangements may need to be made to provide for equitable distribution of business assets.
With couples who are divorcing where only one spouse is actively involved in the business or the business is not operated as an entity co-owned by both spouses, the business is still subject to property division during divorce.
Equitable Distribution of Business Assets
The problem that divorce poses for business owners is considerable, when you understand that Texas is a community property state. The business of an entrepreneur of a company or small business without an enforceable pre or post nuptial agreement is viewed as a marital asset. Even if the other spouse is uninvolved in the business, the enterprise will be subject to valuation and distribution. Distribution is often in a lump sum payout or through terms of future payout if the amount is too large for payment at the time of divorce.
Asset Valuation
Attorney V. Wayne Ward’s MBA background allows him to work effectively with appraisers regarding the complex analysis of tangible business assets such as buildings, bank accounts, inventory, tools, furniture and machinery as well as intangible assets such as mortgages, leases, patents, trademarks, skilled labor, accounts receivable and ''good will.'' ''Good will'' refers to the capability of the business or business owner to attract future business based on a reputation for craftsmanship, quality products, honesty, superior service, etc. The appraiser will perform intricate calculations of net assets, rate of return, and capitalization rate for excess earnings as well as calculate the good will of the business. Other factors such as the ''active'' assets, including infusion of marital (community property) funds as well as the industriousness of the spouse involved with the business are assets subject to monetary distribution during divorce. Active assets frequently come under consideration even when one party owned the business prior to marriage.
Through coordination with business appraisers and accountants, our law firm establishes the best strategy and valuation methods while conforming to statutes, case rulings and evidentiary rules. We effectively strive to represent your best interests in the business aspect of your divorce.
Arrange a Consultation
The Law Office of V. Wayne Ward, located in Fort Worth, invites you to arrange a confidential consultation. Attorney V. Wayne Ward will answer your questions, explain your legal options and assist you in making informed decisions for dealing with your business during divorce. Please call our office at (817) 332-1172 to arrange an appointment.