If you are in business with your spouse and are divorcing, you will have to decide what to do with the business. One option is to continue to own the business together. If you and your spouse work well together and can continue to run the business after a divorce, you will both get to keep your interest in the business. This will also help you to avoid the necessity of a valuation of the business, which can be an expensive process depending on the complexities of your business.
If you and your spouse are unlikely to get along, you may want to consider buying out your ex-spouse’s half of the business or vice versa. Following a valuation of the company, your can either buy your ex-spouse’s half of the business or use other assets for an even exchange. Like all assets in a marriage, the division of business will result in you and your spouse getting your fair share.
If you lack the funds or assets to buy your spouse’s interest in the business and your spouse has no interest purshasing the business from you, you can simply sell the business and split the proceeds. A business valuation can help you determine the appropriate selling price and, with luck, you will sell the business quickly and be able to move on in separate directions. If, however, your business sits on the market longer than you expect, you and your spouse will have to be able to work together until the the business sells, which could run anywhere from a few weeks to several months conservatively.