Accurate Business Valuation Is Crucial In A Fair Division Of Property
If you are a business owner going through divorce – or if you are ending your marriage with a business owner – the importance of obtaining a thorough business valuation cannot be overstated.
In Texas, business assets acquired during the course of a marriage are generally considered to be community property, which is subject to division between divorcing spouses. The legal presumption is that community property, including business assets, will be divided in a way that is “just and right” – which frequently does not mean an equal split.
The reality is that the value of a business could be divided quite unequally, and it is crucial that divorcing business owners and their spouses safeguard their rights to valuable business assets.
Working With Forensic Accountants And Other Experts
At GUNNSTAKS LAW OFFICE, we routinely enlist the help of tax specialists, business valuators and forensic accountants to ensure that our clients’ community property rights are fully protected. You or your spouse may have a closely held business, a professional practice or other kinds of income-generating properties. We have the legal tools and resources to ensure that those complex assets are identified and accurately assessed.
An undervaluation or overvaluation could have a permanent negative impact on a divorcing spouse’s financial future, and we work aggressively to guard against this outcome.
Additionally, when high-value property is at stake, it is not uncommon for one spouse to try to hide assets in a closely held business or by other means defer income. We know how to uncover this kind of activity and protect our clients’ property rights.
When Are Business Assets Separate Property?
Separate property is typically any property that was owned by one spouse before the marriage, or any inheritance or gift received by a spouse during the marriage but not mingled with the community estate.
In other words, the value of a business on the marriage date may also be excluded from property division at divorce. However, if the business increased in value during the marriage, the increase in value may be subject to division between the spouses.
Alternatively, a prenuptial or postnuptial agreement may stipulate that a business is not to be divided in the event of divorce.
Whether you own a business or your spouse does, it is important to diligently trace the business assets to their origin in order to obtain a thorough and accurate valuation.
The lawyers of GUNNSTAKS LAW OFFICE are highly experienced in determining whether business assets should be categorized as separate or community property. In fact, our principal attorney, C. “Luke” Gunnstaks, has prevailed in groundbreaking cases in property division involving the appropriate categorization of assets.
Safeguard Your Financial Future
To discuss your business and marital property concerns with an aggressive, results-driven lawyer, contact GUNNSTAKS LAW OFFICE in Plano by calling 972-590-6572. We can obtain an accurate valuation of your business and help you keep the property to which you are entitled.