When a business owner separates, the business is treated like any other asset. It must be identified, valued, and considered as part of the property settlement.
This guide explains what happens to a business during separation, how business valuations work, and how to protect staff, cashflow, and continuity throughout the process.
Is a Business Included in a Property Settlement?
Yes. A business is included in the property pool regardless of how it is structured or who is listed as the owner.
This applies to businesses operating as:
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Sole traders
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Partnerships
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Companies
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Trusts
It also includes:
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Professional practices (medical, legal, consulting)
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Family businesses
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Small companies
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Start-ups
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Complex trust structures
Ownership does not determine entitlement.
Even if the business is in one partner’s name, it can still form part of the shared property pool.
How Business Valuations Work During Separation
Courts rely on professional valuation evidence, not assumptions or estimates.
A qualified business valuer will typically assess:
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Revenue and profit
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Financial statements
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Cashflow
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Goodwill
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Market value
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Business risk
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Client or patient lists (particularly for professional practices)
In most cases, a single expert valuer is appointed to reduce conflict, cost, and delays.
Options for Dealing With a Business in a Settlement
There are several ways a business can be addressed in a property settlement, depending on its structure and the parties involved.
1. Buy-out
One partner retains the business and pays the other their entitlement.
2. Sale of the Business
Less common, particularly where the business relies heavily on the owner’s skills, reputation, or licence.
3. Restructure
For complex or high-value businesses, staged or cashflow-based solutions may be the most practical option.
4. Asset Offset
One partner retains more of the business, while the other retains a greater share of different assets.
Common Concerns for Business Owners (and How to Avoid Them)
Losing Staff Confidence
Early strategy reduces instability.
We help business owners manage communication carefully and only when necessary.
Cashflow Shock
Poorly structured settlements can damage a business.
We model settlement outcomes to protect cashflow and ongoing operations.
Disclosure Burdens
Business financials must be disclosed, but this can be done in a way that protects the business and minimises disruption.
Losing Control of the Business
Clear, well-structured agreements help ensure you retain control over the future direction of the business.
Resolve’s Approach to Business and Separation
We specialise in complex property settlements involving business ownership.
Our focus is to:
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Minimise disruption
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Protect your business reputation
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Preserve operational continuity
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Deliver a clear, workable strategy
Frequently Asked Questions
Can a business be split 50/50?
Rarely. The court focuses on value, not ownership structure.
Do I need a business valuation?
Almost always.
Can my partner take over my business?
Not unless they already have an ownership interest or an operational role.