Business Division For Illinois Professionals
At Taege Law Offices, our Chicago family law attorneys have extensive experience handling cases involving the division of business interests and business assets.
The rules are different for professionals who are licensed and who own a business, partnership or LLC. When one spouse works as a lawyer, doctor, dentist, CPA or other type of licensed professional and the other spouse is not licensed, this affects ownership and the way the business is divided.
We work tirelessly to help our clients find practical and effective solutions. To get immediate help with your divorce case, please do not hesitate to contact our Chicago law office today.
Marital Vs. Nonmarital Business Property
Similar to other property, business assets are divided and distributed pursuant to the Illinois Marriage and Dissolution of Marriage Act. When preparing for a divorce and considering the impact it will have on a business, the first question that must be answered is the following: Are the business interests marital property or are they nonmarital property?
This is important because nonmarital property is not subject to asset distribution. In contrast, marital property will be divided in accordance with the Illinois equitable distribution standard. Under this standard, all marital assets – including business holdings and business interests – must be divided between the spouses in a “fair” manner.
You Need A Comprehensive Business Evaluation
Before the property can be divided, its fair market value must be known. With certain classes of assets, valuation is relatively straightforward. It is not difficult to put a monetary value on the proceeds of a savings account. However, businesses can be very challenging to value. It is crucial that business owners seek a comprehensive business valuation during the early stages of their divorce. Only when you know the true market value of the business, taking into account all of the company’s assets and debts, will you be able to move toward dividing the business.
Business Owners Must Clarify Their Objectives And Make A Plan
Business owners who are getting divorced in Illinois need clear objectives and a workable plan of action. If your business is a marital asset, these are some options available to you:
- Buy your spouse out of the business.
- Let your spouse buy you out of the business.
- Continue to work together, each owning a share of the company.
- Sell or dissolve the business, splitting up the proceeds.
The option that is best for you will depend entirely on your future plans, your goals, the state of your business and the unique nature of your relationship. An experienced Chicago divorce lawyer can help you weigh your options and craft a plan of action to help you find the very best solution. Find more answers to asset division questions on the FAQ page.
The Guidance Professionals Need In Divorce
At Taege Law Offices, our Chicago divorce lawyers have the skills and experience needed to represent you if your dissolution involves any business interest. If you or your spouse owns a business and you are separating, you need a qualified attorney by your side.
To set up a free, fully confidential review of your case, please do not hesitate to contact our legal team at 312-667-7706. From our law offices on the North Side of Chicago, we handle family law cases throughout Illinois.