Genesis Family Law

Empowering You Through Divorce with Expert Legal Guidance

Chula Vista Office: (619) 422-7722 | Mission Valley Office: (858) 275-2055

Chula Vista Office: (619) 422-7722

Mission Valley Office: (858) 275-2055

Due to precautions related to COVID-19, we have expanded our options for remote consultations. Please contact our office to discuss whether a full phone consultation or video conference is appropriate for your situation.

How Is A Business Divided In A Divorce?

Divorce is a complex process, and it can become even more so when a business is involved. If you have spent years building a business, you want to be sure that it survives the end of your marriage. Conversely, if you have supported your spouse while he or she pursued an entrepreneurial dream, you should receive part of the dividends.

At Genesis Family Law, we understand the many complexities that arise when dividing a business fairly in divorce. Our goal is to reach an arrangement that benefits everyone, while preserving the enterprise if possible. For years, our attorneys have successfully navigated intricate business division throughout southern California. We can help you, too.

Are Businesses Always Split During A Divorce?

California is a “community property” state, which means that spouses evenly divide all assets and debts accrued during the marriage. This typically includes a private business and all its holdings, unless a prenuptial or post-nuptial agreement explicitly state otherwise.

What Is The True Value Of A Business?

Determining the actual value of a business is the most crucial step to ensure fairness for all parties involved in the divorce. Most courts require a private appraisal of your business, which will account for the total scope of its value, including:

  • Assets owned by the business
  • Debts and other liabilities
  • The goodwill of the business
  • The value of its existing accounts receivable

California recognizes that the full value of a business goes beyond mere physical assets, which is why some items on this list are intangible. For instance, goodwill encompasses a business’s reputation, customer loyalty, client list, longevity and other factors that a forensic accountant deems relevant.

Will My Business Cease Operating Because Of Divorce?

Not necessarily. In many instances, one spouse wants to continue running the business, while the other simply wants their share of the value from it. In these cases, one spouse can buy out the other after the business valuation is complete.

Make Sure That Your Business Division Is Done Right

A successful business is often the most valuable asset in a marriage, which makes proper accounting that much more important. Business valuations are often too low or too high, significantly advantaging one partner over the other.

Take control of your future. Learn about your rights. Give us a call at our Chula Vista office at 619-422-7722 or call us at our San Diego office at 858-275-2055, or contact us online.

Family Law

Assisted Reproductive Technology (ART) or Assisted Reproduction

Child Custody and Support

Divorce / Domestic Violence

Mediation and Discovery Referee Services

Prenuptial and Post-nuptial Agreements

Spousal Support

High-Net Worth Divorce

Complex Property Division

Dividing Retirement And Investments

How Is A Business Divided In A Divorce?

Uncovering Assets

Schedule A Consultation With An Attorney

Chula Vista Office

660 Bay Blvd.
Suite 212
Chula Vista, CA 91910
Chula Vista Law Office Map

Mission Valley Office

2655 Camino del Rio North
Suite 400
San Diego, CA 92108
Mission Valley Law Office Map

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Leslie L. Abrigo
Colleen A. Warren
Amy E. West
Kathlynn Cadiente
Eva Moreno Marks