As a business owner, you work hard to build up and maintain your business. Along with all the emotional and financial strain that goes along with divorce, the last thing you want to consider is losing even partial ownership of your business to your soon-to-be ex-spouse. Since chances are having your ex-spouse as a business partner is not something you or your existing business partners would feel good about, you may wish to obtain a prenuptial or postnuptial agreement.
Getting a Prenuptial Agreement
Prenuptial agreements can be a delicate subject for many couples. While a discussion about "prenups" can seem unromantic and cynical, it can actually be a sign of trust and financial openness. A prenuptial agreement spells out financial arrangements to ease the emotional and financial drain of divorce. Many couples consider it almost like an insurance policy; it is likely you may not need it, but if something happens you'll be glad you had it.
Postnuptial Agreements Are Possible
Even if you are already married, you may be able to protect your business by having a postnuptial agreement. While existing law varies greatly by state, many now allow postnuptial agreements. Most recently, Massachusetts allowed postnuptial agreements in a 2010 State Supreme Court decision. Like prenuptial agreements, postnuptial agreements allow married couples to agree to property division in the event of a divorce. However, in order for a postnuptial to be valid in Massachusetts, they need to be structured similarly to prenuptial agreements. Your postnuptial agreement should:
- Be the result of a consultation with independent attorneys for both spouses
- Not be the result of fraud or coercion
- List all assets fully
- Be fair and reasonable
A Family Law Attorney Can Help
Obtaining an accurate and complete prenuptial or postnuptial agreement that will hold up in court requires an experienced family law attorney. If you own your own business and are about to be married, consult a family law attorney to discuss your situation.
