Pleasanton Divorce Attorney Business Valuation
The stakes are high when valuation and division of your East Bay business assets are being decided as part of a divorce proceeding. Enlist the help of an experienced divorce lawyer to obtain a fair stake in the property division process. Business valuation in divorce may often involve disputes over the method of determining value.
It is important to assess the business structure and market and applying appropriate valuation principles when retaining the business as an entity. The options for dividing marital property in line with your goals may include choices. Working with lawyers with the financial acumen to know the nuances and access to a range of potential expert witnesses is vital.
When you select the Law Offices of John A. Guthrie in Pleasanton and Danville, you will work directly with one of our skilled business valuation attorneys. We first get to know your business goals. Our lawyers evaluate the details and discuss whether a buyout, sale or another arrangement might be most appropriate for you. We serve clients in Alameda County, Contra Costa County and throughout the Bay Area.
We offer a initial consultation to discuss your concerns. Our lawyers explain how we can help, in line with your circumstances. Call 925-271-4342 to schedule a meeting at our Pleasanton or Danville office.
Solutions For Business Owners In Complex Divorces
Since 1990, we have been handling complex and high-asset divorce disputes. Our extensive experience includes divorces that involve closely-held businesses, franchises and startups with substantial assets and debts. We offer an aggressive approach tempered with judgment to negotiate an equitable distribution of your marital estate.
Depending on your goals, we will strive to preserve the business. When necessary, we may help you to liquidate the assets of the business and fairly distribute them between you and your former spouse. Our lawyers are skilled negotiators — and divorce litigators. We understand the issues that must be addressed to finalize a buyout to keep the business in your control, or alternative result that serves your best interests.
Tracing To Characterize Property In A Community Property State
Before reaching any agreement, we consult with forensic accountants and business valuation experts. Our legal team analyzes the history of the business, as well as evaluating income projections based on market indicators. For example, if you started a business before you got married, we will trace assets and profits to determine if they might be considered as community or separate property (not subject to division).
We ensure all the facts are on the table to help to pursue a fair property award in divorce.
Importance Of Early Valuation
It is very important to obtain a business valuation early in the divorce process to ensure a fair settlement. Remember that this process can take time, and it is not something you want to rush. The business may be one of the most valuable marital assets that you own. You should start the process early, partnering with a business appraiser to get an accurate valuation, and you may even want to consider getting a second opinion. Take your time and make sure you get it right so that you do not leave any money on the table.
Common Challenges In Business Valuation
The main challenges that you face during a business valuation often come from disputes with your spouse. For instance, you might find yourself facing disagreements regarding the valuation methods that are being used. It is very common for partners to disagree strongly over the total value of the business, even after an appraisal has been done. You may disagree over market conditions, for instance, when projecting how the business will do in the future and its earning potential. For all of these hurdles, it helps to have experienced legal guidance.
Role Of Forensic Accountants And Valuation Experts
It is crucial to work with forensic accountants and valuation experts simply because you need official numbers for the court, and you need to know that those numbers are accurate. Business owners often overvalue their companies because of their own emotional investment, or a spouse may undervalue the business in an effort to reduce the value during property division. Having a third party provide accurate, unbiased numbers helps things move forward smoothly.
Understanding Business Valuation Methods
You can use a variety of valuation methods, including:
- Considering the annual income
- Adding up the value of tangible assets, like inventory or real estate, and subtracting debts
- Projecting how much the business will grow and earn in the future
- Looking at the market and comparable businesses that have sold recently
- Considering the stock value, if the company is publicly traded
Often, business appraisers will use multiple tactics to arrive at a final value, which can then go through property division as the couple splits up marital assets. Even if only one spouse works at the business, their partner may still have a claim during divorce.
Schedule A Initial Consultation Now
Trust our skilled attorneys to fight for a fair property settlement that meets your goals. Contact us at 925-271-4342 to set up your initial consultation with one of our experienced Alameda County business valuation lawyers. You can also reach us via email to schedule a consultation.