Continuing Business Partnerships After a Divorce
It’s one thing to split up as a couple, but what if you are also business partners?
With approximately 3.7 million businesses owned by a husband and wife, divorce among people who jointly run a company is increasingly common. When this happens, partners must decide whether or not they will continue to work alongside one another after the dissolution of their marriage, or how to part ways without damaging the business.
One of the best things a couple that share a business can do is craft a partnership agreement, preferably before they begin working together. In any case, they should determine the conditions under which a partner can sell and how to handle the division of assets. Such agreements should also specify details about how the partners will handle longer-term working arrangements, which sometimes includes a commitment to remain at the company for a given length of time.
The parties involved in a divorce are not the only ones affected; company employees also face questions about the future of the business when their leaders end their marriage. Business partners should be upfront about the impact of the divorce on the organization and try to maintain professionalism throughout the process, even when facing difficult emotions as the result of a break up.
Keeping respect alive
Another critical element in maintaining a business relationship is mutual respect. Keeping this regard intact can be difficult because of the anger and resentment that often accompanies a divorce, but some couples are able to put aside these feelings. Working with a former spouse who still has important skills to contribute to the organization can often override any initial awkwardness.
If you are in a similar situation and have questions about how your divorce might affect your business partnership, meet with an experienced Long Island divorce attorney at Bryan L. Salamone & Associates.