Divorce is extremely painful. And for business owners, it can bring a lot of additional problems. One of my subscribers said that his wife has the status of an individual entrepreneur, but he was always exclusively involved in the operational management of the company. After the couple decided to divorce, confusion arose, spilling over into scandals. What to do with the business in this case? Who is the spouse and to what extent influences him? How to properly assess the business that should be divided?
Transfer of business processes
Together with your significant other, you created a business, earned good money, and purchased real estate. If you take the specific example of my subscriber, when the spouse did not take part in operational management, then it is worth transferring all business processes to other enterprises. But in no case in order to somehow "move in the rights" of the spouse!
First of all, you need to save the business, because if your spouse has never been involved in operational control, then the business can seriously suffer, and this is a crime against your brainchild. Register an individual entrepreneur or an enterprise to transfer all business processes to it.
My experience
I myself had a similar experience and I will say without concealment that my divorce cost me mega dear. When I got divorced, I estimated the value of the business fairly honestly and accurately. My ex-wife and I came to an agreement, and for about three years I paid her the cost of her share.
It was a long time ago, but at that time it was extremely dear to me. In fact, I plowed for three years, pulling money out of the company in order to pay it off as a former co-owner. And I could not and did not want to leave her in this status, because it would be really destructive for the business. So I decided to close this issue, even though it was expensive and painful. I think this step held back the company's growth for a couple of years, but I could not do otherwise.
Calculate the cost and divide
The property
You will definitely have to settle accounts with your spouse. Calculate the value of the property. Obviously, she belongs to you and your spouse 50-50. If, for example, a business uses her shops, then pay her market rent. Better to avoid joint ownership, "cut" the property into objects. This will help avoid situations when you want to rent out a building, but your spouse is not happy with the price, and so on.
Business
Estimate the value of the business, come to some kind of agreement and agree on how its half of the business will be paid. It may make sense to pay with real estate if the business is not very profitable, but here you need to look at the numbers more specifically. While I think this is a good starting point for valuing a business, valuation ratios are very low in these tough times.
If you understand that the spouse has the ability to influence the business, then I would not highly recommend a quick calculation. Pay the amount out of the company's profits within a year or two.
It is worth slowing down due to the fact that the other side may develop certain destructive tendencies, perhaps even attempts to create problems for this business. But if you pay out gradually, this can be avoided.
Spouse's fears
Despite the fact that the spouse was not involved in operational management, she is still afraid of losing her share, losing her income, especially if the children stay with her. And you, as a creator, do not have such fear, you can continue to create a business, transform it.
Therefore, sit down with her at the negotiating table as a co-owner and partner, come to some figures and agreement. Be sure to write down your agreement on paper, put your signatures, it is very reassuring. An ex-spouse with a constant source of income will not have the desire to bite into the business or tear it to pieces.
Find a middleman
It is necessary to reach mutual agreement as soon as possible, because divorces are always filled with a lot of emotions.
I highly recommend that you find a reasonable and rational mediator. Please note, I'm not talking about a lawyer who is well versed in documents and knows some tricks. I can tell you that without an intermediary who is trusted by both husband and wife, it is almost impossible to come to an agreement, because these are not just discrepancies between business partners, there will definitely be an emphasis on family issues, children, and so on.
Advice
It is quite easy to reach an agreement on real estate. But at the cost of the business, roughness can arise, and a trusted intermediary will help to deal with them. It is not easy to choose it, but it is he who will help to carry out the process of dividing the business quickly and smoothly.
Otherwise, the business will be destroyed, but who will benefit from this? Everyone will lose: you, your spouse, and your children.
