Many divorce cases, especially high net worth matters, involve the issue of equitable distribution of assets in light of an interest in a business. This is a complex area because the Connecticut courts use equitable distribution to ensure fairness to each spouse.
At Siegel, Colin & Kaufman, we take deliberate steps to shape the division of a business carefully, based on your goals. We strive to protect your central interest in the business if you are the owner, and we work to be sure an appropriate economic arrangement is made to satisfy the other party whether or not a business is to be sold or otherwise distributed. Together, we develop the strategy for the best possible outcome.
Ideally spouses would cooperate with one another to set in motion an agreement to abide by. When divorcing spouses are unable to produce a working solution to their business division, the court steps in and mandates an evaluation of the business and works through various distribution scenarios before ordering a final decree.
There are many subjective factors involved in dividing a business, but they are generally the same as those required by statute for all assets, and they also include considerations such as:
- Fair market value of the business assets and investments
- Each spouse's general interest in keeping the business
- Potential future growth and earnings value
Because of the nature of equitable distribution, dividing a business is complicated. Fair market value can be hard to calculate if the business was recently formed, or if one spouse would value it more than a reasonable buyer would purchase it for.
The valuation of assets belonging to your business is one of the most important factors that determine the outcome. Whether the fair market value is accurately tallied can significantly impact your future financial certainty.
Businesses are ordinarily valued as of the date of judgment, but forensic accountants can be used, especially in a high-asset divorce, to obtain details about the current and future value of the business.
At Siegel, Colin & Kaufman, our attorneys' experience is anchored in protecting your financial future after your divorce. Business division requires highly developed skills in property and business division.
Our firm has handled many cases, especially high-asset divorces that involve the division of their business entities, and we understand your concerns and needs. We thoughtfully approach your business assets and determine fair valuations to get settlements and judgments that fairly divide your business and protect your future.
At Siegel, Colin & Kaufman, our lawyers can work closely with you to ensure the fairness of the equitable division of your business. Our Stamford office is off I-95 at exit 9. Call us to schedule an appointment at 203-326-5145 or reach out to us via email.