San Jose Business Owner Divorce Lawyer

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Need a Business Owner Divorce Attorney in San Jose to Protect Your Assets?

Divorce is never easy, but when you have built a business from the ground up, the stakes feel even higher. Your company represents years of hard work, sacrifice, and vision. Protecting it during a divorce requires an attorney who understands both family law and the realities of business ownership.

At Feak & Revelo, LLP, we understand that a business owner’s divorce is not just about dividing assets. It is about preserving what you have built while navigating one of life’s most difficult transitions. Our San Jose business owner divorce attorneys provide personalized guidance tailored to the unique challenges entrepreneurs face, approaching every case with the care, precision, and strategic thinking it deserves.

In San Jose’s dynamic business landscape, from tech startups to established professional practices, we have helped business owners protect their interests while achieving fair resolutions. Whether you founded a company before marriage or built it together with your spouse, we are here to guide you with clarity and confidence.

Understanding the Challenges of a Business Owner’s Divorce

When one or both spouses own a business, divorce involves financial complexities that most couples never encounter. Under California’s community property laws, assets acquired during marriage are generally subject to equal division. That can include business interests, regardless of whose name is on the ownership documents.

Business owners face several distinct challenges during divorce:

Valuation of the Business: Determining your company’s fair market value is crucial and often contentious. Whether you operate a sole proprietorship, partnership, LLC, or corporation, an accurate valuation ensures equitable division. This process typically requires forensic accountants and business appraisers who understand methodologies accepted by California courts.
Protecting Business Interests: If you are concerned about losing control of your business or being forced to sell, working with an attorney who understands business protection strategies is essential. This is particularly important in Silicon Valley, where equity compensation, stock options, and rapidly changing valuations add complexity.
Division of Related Assets: Beyond the business itself, there may be real estate, investment accounts, retirement funds, and intellectual property to consider. Our attorneys ensure all aspects of your marital estate are identified and fairly addressed.
Spousal Support Calculations: When a business owner’s income fluctuates or includes non-salary compensation like distributions, bonuses, or retained earnings, calculating spousal support becomes complex. An experienced attorney ensures these factors are properly analyzed.
Business Continuity: Your divorce affects more than just your family. Employees, partners, and clients may all feel the impact. A skilled business owner divorce attorney helps you manage these effects and develop solutions that allow your business to continue operating smoothly.

Business Valuation in California Divorce

One of the most critical, and often disputed, aspects of a business owner’s divorce is determining what the business is actually worth. California courts recognize several valuation approaches, and the method used can significantly impact the outcome of your case.

Common valuation methods include the income approach (based on the business’s earning capacity), the market approach (comparing to similar businesses that have sold), and the asset approach (calculating net asset value). The American Society of Appraisers and similar professional organizations establish standards that California courts often reference when evaluating expert opinions.

Our attorneys work with qualified forensic accountants and business valuation experts to ensure your business is valued fairly and accurately. We understand how to identify and address issues like goodwill (both personal and enterprise), owner compensation adjustments, and the impact of non-recurring expenses on true earnings.

Protecting Your Business During Divorce

Protecting business interests is often the most pressing concern for entrepreneurs facing divorce. Whether you are the sole owner or part of a partnership, your business may be considered a marital asset subject to division under California Family Code. However, with the right legal strategy, you can protect your business from excessive division or loss of control.

Here is how our business owner divorce attorneys can help:

Establishing Separate Property: If your business was established before marriage or acquired through inheritance or gift, it may qualify as separate property under California law. Our attorneys work to trace and document the separate property character of your business, protecting it from division. However, commingling of assets or a spouse’s contributions can complicate this analysis.
Negotiating Buyouts: In many cases, the most practical solution is for one spouse to buy out the other’s interest in the business. Our team assists in structuring these agreements fairly, including payment terms, timing, and tax implications.
Offsetting with Other Assets: Rather than dividing the business itself, you may be able to offset your spouse’s interest by allocating other marital assets (such as real estate, retirement accounts, or investment portfolios) to achieve an equitable overall division.
Protecting Intellectual Property: If your business owns patents, trademarks, copyrights, or trade secrets, these assets require careful handling. Our attorneys work to protect intellectual property that is critical to your business’s ongoing operations and future value.

Is Your Business Separate or Marital Property?

One of the first questions in any business owner divorce is whether the business is separate property, community property, or some combination. The answer depends on several factors:

When the business was started: Businesses established before marriage are generally separate property. However, any increase in value during the marriage, particularly if attributable to community efforts or funds, may be considered community property subject to division.
How the business was funded: If marital funds were used to grow or sustain the business, the community may have acquired an interest in those contributions, even if the business itself started as separate property.
Your spouse’s contributions: If your spouse contributed to the business, whether through direct work, supporting the household while you built the company, or other means, they may have a claim to a portion of its value.
Existence of agreements: Prenuptial or postnuptial agreements that address business ownership can significantly impact how the business is treated in divorce.

California’s characterization rules are complex, and the analysis often requires detailed financial tracing. Our attorneys have experience untangling these issues and advocating for proper characterization of business assets.

Business Owner Divorces in Santa Clara County

The Santa Clara County Superior Court handles a significant number of high-asset divorces involving business interests, given San Jose’s position as the heart of Silicon Valley. Local judges are accustomed to cases involving tech company equity, startup valuations, and complex compensation structures.

In our experience, business owner divorces in this jurisdiction often benefit from early involvement of financial experts and a willingness to explore settlement options. Santa Clara County courts encourage alternative dispute resolution, and many business owner cases are resolved through negotiation or mediation rather than trial. This approach preserves privacy and allows for more creative solutions than a court might impose.

Our familiarity with local procedures, judges, and the professionals who frequently serve as experts in these cases allows us to develop strategies tailored to how Santa Clara County approaches business owner divorces.

Contact Feak & Revelo, LLP today or call (408) 501-8883 to schedule a free consultation with a Business Owner Divorce Attorney in San Jose, California!

The Business Owner Divorce Process

When you work with Feak & Revelo, LLP, here is what you can expect:

Initial Consultation: We begin with an in-depth consultation to understand your business structure, financial situation, and marriage dynamics. We discuss your goals and concerns, then develop a strategic approach tailored to your circumstances.
Financial Discovery and Valuation: We work with forensic accountants and business valuation professionals to accurately assess your company’s worth. This includes analyzing financial statements, tax returns, and business operations to ensure nothing is overlooked.
Strategy Development: Based on the valuation and your goals, we develop a strategy for protecting your business interests. This may involve negotiating a buyout, offsetting with other assets, or preparing for litigation if necessary.
Negotiation or Litigation: We pursue a fair settlement through negotiation or mediation whenever possible, as this often produces better outcomes for business owners. However, if litigation becomes necessary, we are prepared to advocate forcefully for your interests in court.
Resolution and Implementation: Once your divorce is finalized, we help ensure that settlement terms are properly implemented, including any buyout arrangements, support obligations, or business restructuring requirements.

Why Choose Feak & Revelo, LLP?

At Feak & Revelo, LLP, our founding attorneys Samantha and Alexis bring over 15 years of combined experience to business owner divorce cases. We understand that these cases require expertise in both family law and business matters, and that the stakes extend beyond the divorce itself to your company’s future.

What sets us apart is our singular focus on family law combined with deep experience in high-asset cases. We do not handle business divorces as a sideline to other practice areas. We approach them with the specialized attention they require. Our clients trust us because we take the time to understand their businesses, their concerns, and their goals.

We also maintain relationships with trusted financial professionals: forensic accountants, business appraisers, and financial planners who regularly work with us on complex cases. This network allows us to assemble the right team for your specific situation.

The State Bar of California provides resources for finding qualified legal help, and we encourage you to verify the credentials of any attorney you consider. We are proud of our standing in the legal community and our commitment to the highest standards of professional conduct.

Contact Our San Jose Business Owner Divorce Attorneys

If you are a business owner facing divorce in San Jose, you need an attorney who understands the complexities of dividing business assets and protecting your ownership rights. The decisions made during your divorce will affect not only your personal finances but potentially your company’s future and the livelihoods of those who depend on it.

At Feak & Revelo, LLP, we offer consultations to discuss your situation and explain how we can help protect what you have built.

Call (408) 501-8883 today to speak with a San Jose business owner divorce attorney who can guide you through this challenging time.

Frequently Asked Questions About Business Owner Divorce in San Jose

Will I have to sell my business in a divorce?

Not necessarily. While the business may be subject to division, there are several alternatives to selling. You may be able to buy out your spouse’s interest, offset their share with other marital assets, or structure a payment plan over time. Forced sales are typically a last resort when other options are not feasible. Our goal is to help you maintain ownership and control of your business whenever possible.

How is a business valued in a California divorce?

Business valuation typically involves one or more recognized approaches: the income approach (based on earning capacity), the market approach (comparing to similar business sales), or the asset approach (net asset value). California courts generally accept valuations performed by qualified professionals following established standards. The appropriate method depends on your type of business, industry, and specific circumstances.

What if I started my business before we got married?

A business started before marriage is generally considered separate property. However, any increase in value during the marriage may be partly community property, especially if that growth resulted from your efforts during the marriage or if marital funds were invested in the business. Proper tracing and documentation are essential to establish and protect the separate property character of your pre-marital business.

Can my spouse claim ownership of my business?

Your spouse may have a claim to a portion of the business’s value, not necessarily ownership itself. In most cases, the non-owner spouse receives their share of the business’s value through a buyout or offset with other assets, rather than becoming a co-owner. Actual ownership claims are more common when both spouses actively participated in running the business.

How does business ownership affect spousal support?

Business ownership can complicate spousal support calculations because income may fluctuate or include non-salary components like distributions, retained earnings, or perks. Courts look at the business owner’s actual ability to pay, which may require analysis of business cash flow, reasonable owner compensation, and whether expenses run through the business benefit the owner personally.

What about my business partners?

If you have business partners, your divorce could affect them as well. Partnership agreements, operating agreements, or shareholder agreements may contain provisions that address what happens if an owner divorces. These provisions (sometimes called “buy-sell” clauses) can limit a spouse’s ability to claim an ownership interest. Our attorneys review these agreements and work to protect both your interests and your business relationships.

Should I get a prenuptial agreement if I own a business?

If you are not yet married, a prenuptial agreement can provide significant protection for your business interests. If you are already married, a postnuptial agreement may accomplish similar goals. These agreements can specify that the business remains separate property and establish how any increase in value will be handled.

How long does a business owner divorce take?

Business owner divorces typically take longer than average because of the complexity involved in valuing and dividing business assets. In our experience, these cases often take 18 months to two years or longer, depending on the level of disagreement, the complexity of the business, and whether the case settles or goes to trial. However, couples who can reach agreement on major issues through negotiation or mediation often resolve their cases more quickly.

Business Owner Divorce Attorney in San Jose, California