Going through a divorce is never easy, nor is it free from emotional stress and strain. When you are filing for divorce in the state of Michigan, knowing how your business may be affected is essential. When you know what to expect, you can properly prepare ahead of time to minimize risk and stress.
One of the biggest areas of your life and business that are most likely to be disrupted during a divorce is your finances. If you do not have a prenuptial agreement in place, you run the risk of losing up to half of what you own, including your business assets and income streams.
Michigan is a state that currently uses equitable distribution when dividing marital assets. If you do not have a prenuptial agreement, it is important to consider how your business may be impacted negatively and if there is any way around it.
If you are running your business with your soon-to-be-ex-spouse, your day-to-day operations may quickly become complicated. Attempting to move forward with your divorce amicably is highly advisable, although it is not always feasible in a tumultuous scenario.
Working with an attorney, such as Jay Schwartz, will enable you to learn what your options are and figure out the best course of action to take during your divorce proceedings to protect your business.
Consider your prenuptial or postnuptial agreements before you make any changes to your business operations during your divorce. If you do not have a prenuptial or postnuptial agreement in place, determine whether you may lose half of your income and business assets. If this is the case, and your current spouse is entitled to half of your business, he or she is likely to assume a board seat, giving him or her equal control over your business.
Knowing how your business may be affected by divorce is the first step to moving forward. With the right legal assistance by your side, you can feel comfortable with and confident in your decision.