Getting married can feel a lot like starting a new business. You’re excited, hopeful and unsure of what lies ahead. But just as your business needs protection, so do marriages. Things change—sometimes in ways we never expect. While nobody walks down the aisle thinking about divorce, savvy entrepreneurs prepare for all possibilities.
Prenups protect what you’re building
A prenuptial agreement might seem unnecessary when you’re in love and at the beginning of building your life, but it can actually be a sign of respect for your partner and your business. In Washington State, courts generally view businesses started during marriage as community property, meaning your spouse could claim half of your company’s value in a divorce.
A solid prenup can:
- Clearly define your business as separate property
- Protect future business ideas still in development
- Establish how you will handle business growth if divorce occurs
- Set parameters for the intellectual property you create
- Determine compensation for your spouse’s indirect contributions
This upfront planning can bring peace of mind. It also provides a solid foundation for your marriage.
Keeping things clear during marriage
Even with a prenup, how you handle your business during marriage matters greatly. Washington State courts look at how business and personal finances mix when making decisions.
- Keeping separate accounts for business and personal finances
- Documenting contributions to the business
- Avoiding using marital funds for business expenses without agreements
These actions help keep your business separate from marital property, reducing potential disputes if circumstances change.
Protecting businesses when marriages end
If your marriage should end in divorce, dividing property as a business owner can be complex. However, you can make things much easier by involving professionals who can guide you through this process. Working with experienced attorneys and financial advisors can ensure:
- Fair valuation of business assets
- Clear understanding of legal rights
- An organized approach to property division
By taking property division seriously, you can better safeguard your business and personal assets.
Just like you’d build a resilient business with careful planning and advice from knowledgeable professionals, you can approach marriage with the same thoughtfulness. With preparation, transparent record-keeping and help, you can navigate whatever comes your way.
