Family Business and Divorce

A family businesses can be a wonderful way to build a legacy for the next generation. Just like with any other business, certain situations can cause a family business to fail. However, there are other pitfalls that affect family businesses specifically, such as a marriage dissolution.

Divorce is not something that you generally think of when you think of your business. However, it is something that you should consider. If you divorce, what will happen to you and your business? Will you and your spouse split the business and go your separate ways? Will you continue to work together after the divorce? Will you have to dissolve the business entirely and start anew? These are very important questions that you should give some thought to at the onset when starting your business.

If you have non family employees, they can be greatly affected by your divorce. This is especially true if the business has to be sold or dissolved. While a prenuptial agreement can help to minimize the legal ramifications of a divorce on your business, many people do not obtain these agreements.

If you are already married, it is too late for a prenuptial agreement. However, you may be able to draft a document to secure the future of your business. Contact the Minneapolis business law attorneys of Skjold ▪ Barthel, P.A. at 612-746-2560.