Illinois is an equitable division state, which means that all assets accumulated during the marriage will be divided fairly by the court, unless a couple can reach a settlement of their own with the assistance of a skilled Illinois marital property division lawyer.
Dividing a Small Business in a Divorce
Dividing a small business in a divorce can be a complex process. A business started during the marriage is subject to the division of marital property unless there is a provision in a prenuptial or postnuptial agreement regarding ownership of the business in the event of a divorce. If one spouse owns a business prior to getting married, it is not marital property. However, if the business expanded during the marriage, the non-owner spouse may have a claim to the business in addition to any income earned from the business while the couple was married.
Options to Divide a Business in a Divorce
A couple may be able to sell or dissolve the business, dividing the assets as part of the divorce process. The business can be sold to a third party and the proceeds divided equitably or one spouse may sell his or her share of the business to the other spouse in exchange for cash or other marital assets.
Sometimes spouses may be able to continue working together after a divorce, particularly if the divorce is a mutual decision and there is little contention. With this option, spouses may wish to reorganize the business, delineating the roles and responsibilities of each spouse and others involved in the business moving forward from the divorce.
Contact a Lawyer With Experience Dividing Businesses in a Divorce
If you are considering divorce and there is a small business involved, it is important to work with an experienced attorney to explore options for dividing a small business in a divorce. An experienced marital property division lawyer can help you reach the most favorable agreement when dividing marital assets such as a small business in a divorce. If you are considering divorce and have questions regarding Illinois marital property division, Contact the Libertyville law office of Ronald L Bell & Associates PC for immediate assistance today at 847-495-6000.