A business divorce occurs when two or more owners of a business decide that they can no longer work together. Like a marital divorce, sometimes this is a mutual break, while in other instances an owner feels slighted by the other owner or owners.
Even when the parties to a business divorce are on friendly terms, crafting a resolution can be challenging because it involves the restructuring of a business and a change in the entity’s capital and equity structures. It may also involve the sale of a business’ assets to make a payment to the departing owner. Sometimes, complicated tax and employment issues arise.
When the parties to a business divorce disagree, litigation, arbitration, or mediation may be necessary. Depending on the business’ structure, the owners' percentage of equity in the business and current state in the business, there are various options available to those that find themselves in, or on the edge, of a partnership dispute.
When it comes to business divorce, we can help with the following:
- What to do with the company’s assets.
- How to sell or dissolve the company.
- How to deal with pre-existing contracts.
- What to do with the company’s bank accounts and other cash reserves.
- How to deal with business debts.
- How to address other concerns in disentangling the owners.
Luckily, an experienced business attorney can guide you through the process of what to look out for and what the law requires. We can help businesses of all levels navigate the labyrinth of a business divorce, and advocate for your interests while maintaining a practical approach.
For more information on our Business Divorce services, or to speak with an experienced NYC Business Divorce attorney Contact Us