Many married couples find great satisfaction in being not only life partners but business partners as well. However, when a marriage hits a rough patch and the spouses decided to call it quits, they must decide what to do with their shared business.
If you are in this situation, you may wonder how you can make this decision. Understand the three main options is a good place to start.
Selling your business
As explained by Forbes, many married business partners choose to sell their companies to third parties when they divorce. This not only gives each spouse a path forward separate from the other party but eliminates working in an environment that may hold too many emotions for them. One potential challenge may be the length of time required to find a buyer and agree on a price among all parties. The longer this takes, the longer the divorce drags on for.
Keeping the business
Some couples find a way to continue working together even when they no longer remain married to each other. This, of course, requires a high degree of flexibility and communication skills on the part of both spouses and may not be possible for everyone.
A combination approach
One spouse may opt to buy the other person out of the business, preventing the need to find a buyer and preventing the need to keep working together after a divorce. Both spouses still have to agree on the valuation for the business, however.
This information is not intended to provide legal advice but is instead meant to give residents in New Jersey an overview of their options for how to manage a family business during a divorce.