Using an attorney is essential when going through a business divorce. Not only do you need a professional to help you through the legal issues involved, but you also need one to help you protect your company and business assets. This is why it is important to hire a divorce attorney who is experienced in handling business divorces.
Unless you’re involved in a one-shot dollar dispute, negotiated resolutions in business divorce are the way to go. Of course, you’ll need an experienced business divorce attorney Long Island, NY, but you can often find one willing to litigate.
Getting all the facts is important before deciding to settle a divorce case. You’ll need to find a way to separate emotions from business decisions. Using a mediator to help guide you through the process is a good option, too. You can then use the information you’ve gathered to prepare your arguments.
The first stage of a business divorce is the preliminary phase when the parties investigate the merits of the underlying claim. It’s also a good idea to seek advice from someone you trust, such as a family member or financial advisor.
The next step is the valuation stage. This is when the parties explore how much money they will need to settle. It’s also a good idea for each party to come up with a picture of their ideal scenario. This will help them think through the steps they need to take to get there.
Expecting the Unexpected
Getting a business divorce is a big decision, and it’s one that’s best handled by a team of professionals with the right kind of experience. The right attorney can make the process easier and less stressful on the client and give them a better chance of walking away with a fair share of their company’s assets. A good attorney can also point clients toward an appropriate lawyer for their unique situation. Fortunately, most firms are well-versed in these scenarios, can quickly and thoroughly assess their client’s needs, and recommend the right lawyer for the job.
Regardless of your circumstances, a well-rounded business divorce lawyer will have all the tools of the trade in their arsenal and can guide you through the process from start to finish.
Obtaining a Business Valuation
Obtaining a business valuation for divorce is a step that needs to be taken to determine an equitable distribution of property and debt. The valuation process involves determining the value of a business’s assets, liabilities, and projected future revenues. This can be a stressful process. Fortunately, there are several different approaches to determining a business’s value.
The first method involves examining historical data to determine the normalized cash flow of a business. It is one of the most popular methods for determining the value of a business.
The second method involves comparing the fair market value of a business to the actual value of the business. This is not an exact science but a good starting point.
The third method values an entity by balancing the basic assets of the business. This method can be useful when the business has high growth potential. It is also useful in determining the value of a business that may not be readily apparent on the balance sheet.
The standard of value varies from state to state. For example, in some states, goodwill is considered marital property, while in others, it is not. A judge or mediator will determine the standard of value used to value a business. It is important to choose the right standard of value. The wrong standard can result in an expert’s opinion being dismissed.