Four Common Mistakes that Business Owners Make In Divorce in Florida
Divorce can be a stressful, confusing, and often overwhelming process. For business owners, ending a marriage can be especially challenging. There are many different complex issues that must be addressed and resolved. Unfortunately, many business owners make avoidable errors that undermine their own rights and interests.
At HVW Law Group, we are adept in handling high net worth divorce cases. We want to make sure you have the information you need to get the best outcome. Here, our Boca Raton and Coral Springs divorce lawyer highlight four of the most common errors that business owners make in divorce and explain how you can avoid them.
- Mistake #1: Failing to Understand Florida’s Equitable Distribution Law
Under Florida law (Florida Statutes § 61.075), a divorcing couple’s marital property is typically divided and distributed equitably. Notably, a business may be deemed marital property and, thus, subject to distribution in divorce. Generally speaking, a business is (at least partially) a marital asset in Florida if:
- It was formed after the start of a marriage;
- It was supported by marital assets; or
- It increased substantially during the course of the marriage.
Even if your business interests are covered by a prenuptial agreement, it is crucial that you speak to a lawyer about Florida’s equitable distribution laws. An attorney will help you understand your rights, responsibilities, and legal options.
- Mistake #2: Not Knowing the Value of Your Business
Before you get divorced, it is imperative that you seek a comprehensive business valuation. You cannot even begin to think about reaching a property division settlement until you know the true value of your business. Without a comprehensive business valuation, you are essentially flying blind.
If you have any specific questions about business valuation and divorce, an experienced Florida family lawyer can help.
- Mistake #3: Mixing Up Personal Expenses and Business Expenses
Too many business owners intermingle their personal expenses and business expenses. In divorce, this can be a big problem. One of the best steps you can take to protect your company is to carefully divide your personal life from your professional life. Take the time to gather, review, and organize all documents, records, and related financial information.
- Mistake #4: Waiting Too Long to Seek Professional Help
In divorce, a proactive approach is an effective approach. Business owners should not wait too long to seek professional guidance and support. A Florida high net worth divorce attorney with experience representing business owners will be able to help you take the proper action to protect your financial interests and the health of your business.
Call Our South Florida Divorce Attorney for Immediate Help
At HVW Law Group, our Florida divorce lawyers have the skills, legal knowledge, and financial expertise to protect your rights. If you or your spouse owns a business and you are preparing for divorce, we can help. Contact us now for a confidential, no obligation initial case evaluation. From our law office in Coral Springs and our law office in Boca Raton, we are well-positioned to handle business owner divorce cases throughout South Florida.