How to Protect Your Business in Case of Divorce

When you own a business, you think about protecting it from theft and natural disasters, take out insurance, and make physical improvements to your place of business to make it more secure. You may not consider divorce to be on the same level as a break-in or a tornado, but divorce is actually more prevalent than most situations businesses need to be prepared for – and can be as damaging to a business’s cash flow and long-term health.

If you are a business owner, there are steps you can take to protect your business in case of a divorce, and additional steps you should take once a divorce is underway. These steps will not only help your business weather a divorce, they’ll also help simplify the complications that business ownership can introduce into arriving at a divorce settlement.

Seek the right legal counsel. Once you’re starting the divorce process, you’ll want a good family law lawyer – preferably with business experience – to help you manage the personal and business aspects of the divorce, and to keep them as separate as possible. You can take steps to protect your business before you get married, by creating a prenuptial agreement that includes provisions governing your business assets.