Ending a partnership can be a tough decision for business owners – but the right proactive steps can ensure an equitable split for all parties. In a recent article for In Business magazine, Partner Gary Smith outlines how co-owners can prepare for a potential “business divorce” to protect both the company and their personal interests.
Gary highlights the importance of recognizing the early signs of conflict before they escalate. Identifying the pain points early on allows business owners to address them proactively to help minimize disruption while also trying to find an alternative solution like mediation or negotiation.
When resolution is no longer an option, the formal dissolution process begins. Gary breaks down the essential steps such as reviewing operating agreements, notifying shareholders and distributing company assets.
Above all, Gary emphasizes the need for professionalism and respect throughout the process. With the help of a team of trusted advisors, business owners can navigate the process smoothly while mitigating future liabilities.
Gary is a seasoned litigator, advisor, mediator and arbitrator. He focuses his practice on commercial matters, construction, real estate, cannabis and administrative law and has represented many individual and institutional clients in state and federal courts, administrative hearings and arbitration.
Read the full In Business article to learn more about how co-owners can navigate a business breakup.