When you’re starting a business, you don’t want to think about how it will end. Nevertheless, it is an essential consideration when creating a business. The future brings many unknowns, making it vital to consider the need to dissolve the business or transfer the ownership to another.
In the case of a partnership, certain events could necessitate a business divorce. Much like when spouses divorce, a business divorce requires a legal process and much consideration when it comes to assets, liabilities and tax consequences. Thus, it is imperative that you take steps to ensure your legal rights are protected.
Business divorce
At Codispoti & Associate, P.C., we understand the complexities and intricacies a business dissolution can bring to the table. Our skilled attorneys bring forth much experience and knowledge when it comes to guiding our clients through the process, helping them avoid potential setbacks and financial pitfalls.
Whether you seek to disassociate yourself from your business or have decided to begin your own separate business, it is vital that you prepare yourself for this process and the potential issues that could arise. You need to protect your rights while also protecting your financial interests in the process.
Protecting your financial interests
While a business divorce could have positive financial outcomes, the focus should remain on protecting your finances and avoiding liability. Going through the proper steps to end your connection with a business will help lower the risk of facing personal liability or risk losing personal assets if a judgment is placed against the business.
It is important to note that a business divorce, like a marital divorce, could involve significant tax consequences. Considering this when assessing your options will help you determine your best outcome with each available option. In turn, this can help you decide how best to proceed with the process.
A business divorce is not something one often experiences, making it a new and unknown process. Thus, it is important to gain insight on the process and your options. With the help of a legal professional, you can get answers to your questions and make a knowledgeable decision for yourself and your business.