Searching for the “Best Business Owner Divorce Attorney”?
William O. London
Partner
David J. Steadmon
Taeva Quezada
Rosa Cheng
Proven Business Owner Representation
Divorce is rarely simple, but when you're a business owner, the stakes are higher. Your business is more than an asset—it's the culmination of your hard work, vision, and determination. At Kimura London & White LLP, we recognize the unique challenges business owners face during divorce and offer unparalleled expertise to protect your business and secure your financial future.
Under the leadership of William “Bill” London, a founding partner and one of “America's Top 50 Lawyers”, our team has extensive experience in high-asset divorces for Orange County business owners. With a stellar reputation for counseling high-profile clients on multi-million-dollar projects, Mr. London is known for his integrity, loyalty, and commitment to achieving exceptional results.
Our firm has been featured in Forbes and Fortune magazine and is proud to be an Inc. 5,000 company. Conveniently located in Irvine, California, we are the go-to law firm for business owners in Orange County and beyond.
Why Business Owners Need Specialized Legal Representation in Divorce
California's community property laws require the equal division of marital assets, including businesses or their increased value during the marriage. This process involves:
- Complex Valuations: Establishing the true value of your business, including goodwill and future earning potential.
- Property Division: Determining whether your business is separate or community property.
- Tax Implications: Avoiding unnecessary tax burdens during the division of assets.
- Support Obligations: Calculating spousal and child support based on the income generated by your business.
Navigating these issues without an experienced attorney risks the loss of control over your business and financial instability. Our team provides tailored legal strategies to address these challenges and protect what you've built.
Comprehensive Strategies for Business Protection
1. Determining Business Classification: Separate vs. Community Property
The first step in any business owner divorce is determining whether the business is separate property (e.g., established before the marriage) or community property (e.g., created or increased in value during the marriage).
Factors that affect this classification include:
- The date the business was founded.
- Contributions by either spouse during the marriage.
- Use of marital funds for business operations or growth.
- Existence of prenuptial or postnuptial agreements.
If your business is classified as separate property, we work to ensure its exclusion from the marital estate. If it is partially community property, we strategically minimize the portion subject to division.
2. Safeguarding Through Prenuptial and Postnuptial Agreements
Legal agreements are powerful tools for protecting business assets:
- Prenuptial Agreements: Define the business as separate property before marriage, ensuring it remains protected in the event of a divorce.
- Postnuptial Agreements: Establish guidelines for business ownership and division after the marriage has begun.
We meticulously draft and review these agreements to ensure compliance with California law, providing a strong layer of protection for your business.
3. Accurate Business Valuation
Business valuation is often one of the most contentious aspects of a divorce involving business assets. Courts consider multiple valuation methods, including:
- Fair Market Value: The price a buyer would pay in the open market.
- Investment Value: The business's value to its current owner.
- Goodwill: The intangible value derived from the business's reputation and relationships.
Our team works with leading forensic accountants and valuation experts to:
- Assess your business's financial health.
- Identify factors that contribute to its value.
- Present evidence that protects your interests in negotiations or court proceedings.
4. Division of Business Assets
California law requires an equitable division of marital property, including businesses. However, dividing a business doesn't always mean splitting ownership.
Possible outcomes include:
- Buyout Agreements: One spouse retains the business, compensating the other for their share through cash payments or other assets.
- Asset Swaps: The business owner keeps the business in exchange for other marital assets of equal value, such as real estate or retirement accounts.
- Business Sale: In rare cases, the business may be sold, and the proceeds divided between spouses.
We work to protect the integrity of your business operations while ensuring a fair resolution that complies with California law.
Addressing Additional Challenges in Business Owner Divorces
Income and Support Obligations
The income generated by your business can directly impact spousal and child support obligations. California courts carefully evaluate:
- The business's revenue streams.
- Your income as a business owner.
- The needs of your spouse and children.
Our attorneys analyze these factors to ensure support calculations are fair and accurate, protecting your financial stability.
Tax Implications
Dividing business assets during a divorce can trigger significant tax liabilities, including capital gains taxes. Our firm collaborates with tax experts to:
- Minimize tax burdens.
- Structure settlements that are financially advantageous.
- Ensure compliance with state and federal tax laws.
Operational Continuity
Divorce can create uncertainty for employees, clients, and stakeholders. We develop strategies to:
- Preserve business operations.
- Minimize disruptions.
- Maintain confidentiality throughout the process.
Why Choose Kimura London & White LLP
Proven Expertise in High-Asset Divorces
Our attorneys have decades of experience representing business owners in complex divorce cases. From multi-million-dollar enterprises to family-owned businesses, we have the knowledge and resources to protect your interests.
A Track Record of Results
William “Bill” London has earned a reputation for achieving exceptional outcomes in high-stakes cases. Recognized as one of “America's Top 50 Lawyers” and trusted by high-profile clients, Mr. London's strategic approach delivers results.
Tailored Legal Strategies
No two divorces are alike. We take the time to understand your unique situation and develop customized strategies that align with your goals.
Award-Winning Service
As an Inc. 5,000 company featured in Forbes and Fortune, we are committed to excellence in every aspect of our practice.
FAQs About Divorce for Business Owners
Q: Will I lose my business in a divorce?
A: Not necessarily. While your spouse may be entitled to a share of the business's value, you can often retain full ownership through buyout agreements or asset exchanges. Our attorneys help ensure the division process protects your business and financial future.
Q: How is business valuation handled in a divorce?
A: A forensic accountant evaluates factors such as revenue, assets, liabilities, and market conditions to determine the business's value. Both spouses must provide full financial disclosure during this process.
Q: How does a prenuptial agreement protect my business?
A: A prenuptial agreement can classify your business as separate property, ensuring it remains yours in the event of a divorce. These agreements are particularly valuable for business owners entering marriage with significant assets.
Q: How are support obligations calculated for business owners?
A: Support calculations consider your income as a business owner, including salary, dividends, and other forms of compensation. We work to ensure these calculations are accurate and reflect your financial reality.
Contact Us Today
Divorce involving business assets requires specialized legal representation. At Kimura London & White LLP, we are dedicated to protecting your business and securing your future. Schedule a confidential consultation with William “Bill” London to discuss your case and take the first step toward a successful resolution.