The professionals at Cutler Smith Attorneys & Counselors make it their priority to protect the business interests of their clients in Texas. They know the ins and outs of how to set up a new business, appropriately use and create contracts that benefit the business, and even how to protect the business from complete damage if the owner gets a divorce from their spouse.
The use of a marital contract may allow a business owner to avoid losing their livelihood if they ever get divorced. As explained by Forbes, a person who founded a business before they made the choice to get married will want to get a defined business valuation of the company at the time of the marriage. This valuation acts as the benchmark against which any future increases or decreases in value may be assessed at the time of a divorce and avoids disagreements about this fact.
A prenuptial or postnuptial agreement should outline what, if any, contribution the spouse may make to the business. This contribution may be in the form of money or other assets or in the form of work performed to benefit the business. Compensation for these contributions should also be identified. A marital contract may put a cap on the percent of a company’s value that a spouse may receive in a potential divorce.
If you would like to learn more about how you might leverage a prenuptial agreement or a postnuptial agreement to protect your business should you ever get a divorce from your spouse, please feel free to visit the marital contracts for company owners page of our Texas business law website.