One of the biggest problems that divorce proceedings often present involves the division of assets. This can often be a difficult process especially when it comes to medical practices, which can be extremely valuable. In order to protect your Florida medical practice from divorce, it is important to take some specific steps.
Create a prenuptial agreement
A prenuptial agreement will clearly delineate what is considered to be your separate property and what is considered to be marital property. This can help to avoid any conflict during the divorce proceedings. If you’re already married, you can still create a postnuptial agreement and specify what is to be considered separate property.
Keep good records
It is important to keep meticulous records of the value of your medical practice to help you in the event that you need to prove its value during the divorce proceedings. You should also keep records of any separate property that you have acquired during the marriage.
Have a buy-sell agreement
A buy-sell agreement is a contract that stipulates what will happen to your medical practice in the event of divorce. This can help to ensure that your practice remains intact and is not divided up during the divorce proceedings. For instance, the agreement could stipulate that your ex-spouse would have to sell their share of the practice back to you.
Understand the value of the business
It is important to understand the value of your medical practice in case you need to negotiate a settlement. An appraiser can provide you with an accurate valuation of your practice.
Create a trust
There are many types of trusts that can protect your medical practice from divorce. For instance, you could create a spendthrift trust, which would prevent your ex-spouse from accessing the assets of the trust. You could also create a life insurance trust, which would ensure that your medical practice remains protected in the event of your death.
If you are facing the possibility of divorce, it is important to take these steps to protect your medical practice.