During a divorce, dividing homes, accounts and retirement plans usually takes center stage. But if a business is on the table—whether solely owned by one spouse, jointly owned by both or tied to shares in a larger company—the financial stakes shift dramatically. Suddenly, the future of a company, the livelihood it supports and long-term wealth planning all come into play.

In Florida, businesses acquired during marriage are generally presumed to be marital property subject to equitable distribution. Under certain circumstances a spouse may be even be entitled to equitable distribution for businesses acquired before the marriage. That doesn’t mean every business interest is simply cut in half. The rules are more nuanced—and without the right strategy and proper application of the facts to the law, both the business and the individuals involved could face significant setbacks.

Why Business Interests Complicate Divorce

Florida law presumes a 50-50 split of marital assets, but dividing a business is rarely that simple. Bylaws or shareholder agreements may restrict the transfer of ownership to a spouse, and valuations can reveal that what seems like a modest operation is actually worth millions when considering future earnings and market factors.

For executives and business owners, reported income adds another layer of complexity. Many pay themselves a lower salary or deferred compensation or find other investment vehicles through the business for tax purposes while enjoying benefits through business accounts. This can obscure real income and affect alimony or property division. Without careful review of both personal and corporate finances, critical details may be overlooked.

Strategies for Dividing or Protecting a Business in a Divorce

Every divorce involving a business is unique, but common solutions in Florida include:

• Professional valuation—An expert analyzes revenue, assets, liabilities and market conditions to set a fair baseline beyond tax returns or a single year’s numbers.
• Buyouts—One spouse purchases the other’s interest, often with adjustments for taxes, debt or long-term earnings potential.
• Co-ownership arrangements—Both spouses remain involved, requiring carefully negotiated employment contracts, governance rules and exit protections.
• Sale of the business—Sometimes selling the company and dividing the proceeds is the cleanest option, though often a last resort for owners committed to their business.

Protecting Your Business Interests

If you’re a business owner, shareholder or the spouse of one, there are steps you can take to protect your interests before, during and after a divorce:

• Get a business valuation early and as of the date of filing—this avoids disputes over what the company is worth and prevents one party from underestimating or inflating numbers.
• Look beyond the tax returns—business and personal financials can be structured in ways that mask actual income. A detailed review is critical.
• Check the governing documents—shareholder agreements, bylaws or operating agreements may control whether and how interests can be transferred.
• Consider tax consequences—a division that looks even on paper may create tax burdens for one or both sides. Structuring the deal wisely can preserve value and benefit both parties.
• Anticipate future events—investments, sales or spin-offs could occur after a divorce. Agreements should account for how those opportunities—or risks—are handled.

The Intersection of Business and Family Law

Whether you are an owner, executive or spouse, the key when a business is involved isn’t just: “Half of what?” and “Is that even allowed?”

Divorces involving business interests are far more complex than typical family law cases and require a lawyer who understands both corporate and divorce law. Without that expertise, clients risk walking away with far less than they are entitled to or with an agreement that later proves unenforceable.

Reprinted with permission from the November 3, 2025 edition of Daily Business Review © 2025 ALM Media Properties, LLC. All rights reserved. Further duplication without permission is prohibited, contact 877-257-3382 or reprints@alm.com.