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Businesses form part of the assets to be shared on divorce and are a central part of financial proceedings and discussions on divorce.
When there is a divorce, the family courts – rather than the commercial courts – deal with the issues of the business issues, whether it is a trading firm, a company or a partnership.
The courts routinely ask that businesses and business interests be valued as part of the financial disclosure exercise.
Valuing business interests is extremely difficult. There is a danger that an unrealistic amount of emphasis will be put on the value of the business when dividing up the family assets. This can lead to real problems in practice.
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