Fountain Valley Business Owners Divorce Lawyer

Fountain Valley Business Owners Divorce Attorney

“A Nice Place to Do Business” is the business owner’s motto in Fountain Valley. With ample parks and recreational programs, residents always have access to golf courses, fishing, and a variety of sports fields. Running a business in Fountain Valley is a great choice, but the hazard of losing all or part of that business in a divorce can be devastating. If you’re faced with an impending divorce, contact a Fountain Valley business owners divorce lawyer.

Minyard Morris: Knowledgeable Counsel in Business Owners Divorce Cases

With over 350 years of combined experience, Minyard Morris has built a team with exceptional levels of professionalism, ethics, and integrity. When you need to hire a business owners divorce lawyer, our team of 19 family law attorneys can offer tailored representation that focuses on your unique goals. Divorces are rarely simple, but our firm works to exceed your expectations with our client-focused approach.

Working exclusively in Orange County, we have spent years building strong relationships within the family law courts to better serve our clients. Rated Platinum for Client Service by Martindale Hubbell, we pursue your goals with strategic advice and aggresive advocacy. Three of our lawyers are recipients of the Best Lawyers in America Orange County Family Lawyer of the Year. We are frequent collaborators on many family law topics.

Fountain Valley Business Owners

In 2024, Fountain Valley had a total population of 54,678, including:

• 28,694 total labor force
• 29,407 total employees
• 27% blue collar
• 72% white collar

Fountain Valley had a total of 3,322 businesses, with a breakdown of:

• 26% had 1-4 employees.
• 92% had 5-9 employees.
• 89% had 10-19 employees.
• 71% had 20-49 employees.
• 25% had 50 or more employees.

Property Classifications During Divorce

As a business owner navigating divorce, how your business assets are divided depends on how the property is characterized. During the divorce, all your assets and debts should be divided, either informally through a private agreement or formally through the court system.

In California, the family law courts generally divide property into four categories:

1. Community property includes assets and debts acquired during the marriage up to the date of separation.
2. Separate property encompasses the assets and debts acquired before the marriage began or after the legal date of separation. The date of separation is considered the date either spouse expresses a clear desire to divorce and then follows through with that intent. Gifts and inheritances obtained during the marriage are generally also considered separate property.
3. Quasi-community property includes assets and debts accumulated during the marriage but not within California. California treats these items as community property during division.
4. Commingled property includes assets acquired through a comingling of separate and community property. These items are typically high-value assets, such as properties or accounts opened before the marriage that have remained open during it.

In the California divorce process, each spouse retains their separate property, and the community property is divided equally. If you and your spouse decide on a fair distribution of the community property, the judge will approve of it, even if it is not divided equally.

Business Valuation During a Divorce

A business owners divorce lawyer knows how to determine the characterization of your business, per California’s business owners divorce laws. The character of property the business is may determine how it can be handled during the divorce process:

• Community property. The business is considered jointly owned if it was acquired during the marriage. The income earned from the business during the marriage is also considered a marital asset, separate from the business itself.
• Separate property. The business is deemed separate property if it was acquired before the beginning of the marriage or after the date of separation.

During the divorce process, you have to provide a financial disclosure, which lists all your financial information, to your spouse. This financial disclosure must include a fair valuation of your business based on an acceptable appraisal method. Valuation methods include:

• Income approach. This considers the projected earnings and profitability of the business. Establishing that you are paid a reasonable salary from the business can also influence any spousal claims made against the business.
• Market approach. This approach examines similar businesses in the area that have recently been sold. If the business is unique, this method may not provide as accurate a value.
• Asset approach. This assesses the total value of the business by valuing tangible and intangible assets while also factoring in liabilities.

You are not limited to one method of valuation. A skilled Fountain Valley business owners divorce attorney can make sure a professional valuation is conducted, as this can provide an accurate assessment of the current and future value of your business. In many cases, this involves working with a forensic accountant to ensure the valuation is comprehensive and withstands legal scrutiny. An inaccurate valuation will affect how the assets are divided.

Dividing Business Assets

Once the valuation is determined, attention must be given to determining you can decide which method to use for dividing your business assets. Possible methods include:

• Buyout. You can purchase your spouse’s stake in the business to retain sole ownership.
• Asset offset. You can offer assets of equal value in exchange for sole ownership of the business.
• Shared ownership. You and your spouse both retain ownership of the business after the divorce.
• Selling. The business can be sold, and the proceeds are divided among the other assets. A critical factor in choosing a division method is understanding the distinct tax consequences each option carries.

Hire a Business Owners Divorce Lawyer

At Minyard Morris, we believe that collaboration builds strong cases. Our divorce attorneys meet weekly to discuss strategies and the unique circumstances of our clients’ cases. That way, we approach each situation as effectively as possible. Contact Minyard Morris to arrange a confidential consultation.