Family businesses are alive in and well in Illinois and throughout the country. The thought of owning your own business can be as much a part of the American dream as can the thought of owning your own home. When you and your spouse make the choice to start, buy or otherwise get into a business together, many positives can come out of that choice but there is also the increased chance for challenges if you later divorce.
Just like with your home or other assets of significant worth, you essentially have three options with your family business when you and your spouse divorce. As outlined by Forbes, you can sell the business and split the proceeds between you. One of you can buy the other person out. Finally, you and your to-be former spouse could choose to keep operating the business and working together even after you divorce.
If you opt for selling your business outright or for one spouse to purchase the other spouse’s share, you will need to have the company valued appropriately. The value of the business then will need to be factored into your overall property division settlement which might also include your family home, retirement accounts and more. If you choose to keep working together, you will both need to be emotionally prepared for the other person to move on in life, including starting new personal relationships.
If you would like to learn more about your options for handling a business in a divorce, please feel free to visit the family business page of our Illinois divorce website.