Most New York residents have a growing attachment to different assets and property they have obtained. Because of these attachments, asset division during divorce can often prove contentious, and individuals may fear that they will lose something dear to them. When businesses are involved, owners may feel particularly concerned about what may happen with their companies.
Because money and value plays a significant part in dividing assets, the valuation of a business will also have an importance. Determining this value may be done in different ways, but often, assets, revenue, leadership and competition can all be factors in how much value a company may have. Additionally, intellectual property may also go into consideration, and that type of property could include patents, cash flows and profits.
When it comes to the use of valuation during divorce, having an accurate estimate may prove crucial. If an individual does not have a clear idea of what his or her business is worth, the property division outcomes may turn out detrimental. Business owners may also want to go so far as to check their company valuation on a routine basis to ensure the accuracy and credibility of the value.
Preparing as much as possible before asset division proceedings will help divorcing New York residents understand their particular predicaments. Because business valuations can complicate certain proceedings, individuals should ensure that they understand the importance of that value. Knowledgeable legal counsel could help interested parties work toward gaining an accurate valuation and determine how that value could impact the division of property.
Source: lodinews.com, "Ken Levy: The importance of valuing your business", Ken Levy, July 14, 2017