Who owns the business after a divorce ? It’s best to seek help of mediator to work out options to go forward. Contact us today
Disputes Over Jointly owned Business
There are a lot of couples who own a joint business. Upon separation, it is important that this business is split or if they decide to carry it forward as it is, they have to split the profits according to a deed.
The profits of said business would be one of the most important providers of financial support for a child in this case. Business profits must not be ignored and equally divided between both the parents as well as the child to secure their life.
The assets in a business when valued must be divided evenly between both the parents after separation as there can be a lot of disputes which can arise between all the parties and make the life of the child suffer.
It may be that one parent, who is earning more by a business, may be hesitant to contribute to the child’s life. In the eyes of the law, the business profits must be divided equally among both parents and out of that, they must contribute to the child’s life.
The basic needs of a child are to be fulfilled through the financial support and it is equally important that the child’s entertainment is funded equally by both parents. Parents must take an interest in the life of the child and at least one must be there to take an active part in taking his care.
Many parents understand the importance of dividing business assets among them and many of them don’t. The matter can be very complicated and personal because the situation here is to divide the assets of the business which can be personal to a parent as well.
Lakes Mediation And Business Ownership Disputes
The Lakes Family mediators can solve such a complicated matter. Dividing the value of assets can be very complicated as every fact must be taken into consideration for example depreciation, personally owned assets, disputes over land and other disputes etc.
Many business owners do not feel comfortable discussing all these details in a public forum as this matter is very personal and this information must kept confidential. At Lakes Mediation, we understand that this is your livelihood and keep all business matters private and confidential.
If the parents decide to carry on the business as it is the only source of income to them, and they cannot dissolve it and sell the assets, the profits have to be divided and equal contributions from both parents must be paid to the child. It is not recommended to involve the court into the matter as there are a lot of formalities to be fulfilled and your efforts will be wasted.
Instead, a mediator is your best option as they can help you reach decisions about your business in a friendly environment so that all the information is communicated thoroughly and they can work upon it.
The decision making process is quick taking into consideration all the facts and figures.They have a duty to fulfil and help the parents to reach a decision which is done with a mutual consent.
They provide you with the information about the whole process that has to be followed while valuing the assets and while dividing them in between the parents and the child.