Business Divorce
Phoenix Business Divorce Attorneys
Most businesses start with only the intention of success.
Similar to the beginning of a romantic relationship, a newly formed
business may forge ahead ignoring signs that the relationship
likely will not last. Not wanting to dampen the energy
created by the new venture, they may ignore shareholder agreements
and operating agreements and instead open their doors for business.
However, many business ventures either fail to live up to their
potential or incur operational, financial or philosophical
challenges.
Careful planning and documentation can help mitigate or lessen
business disputes. At a minimum, the business operating or
shareholder agreement should speak to the controlling ownership -
equal ownership is problematic; capital; distributions; adding
additional members or shareholders. Customer relationships and key
employees are central to the success of the business, and should be
addressed in restrictive covenants. And while no one ever
wants to contemplate the end at the beginning of a relationship a
buy sell agreement is needed.
Business owners may find themselves faced with an increasingly
strained business environment if the owners differ on operational,
strategic and financial direction. Carefully crafted
agreements can provide guidance and direction for the business
owners. In their absence, the company's operations may be
strained enough that the only option left is a "business divorce".
While the business owners may be fraught with as much emotion as a
matrimonial divorce, assistance from legal counsel that have guided
companies through corporate divorce or business breakups is
vital.
Our attorneys have extensive experience assisting Arizona
businesses with their business divorce ranging from structuring
buy-sell agreements to removal of a partner from negotiating a
viable settlement to litigating the claims. They also
understand the emotions, the desire to emerge with a vibrant
company and the need to maintain relationships with customers and
key employees. Our goal when assisting a company through this
type of situation is to allow the owners to focus on their business
and its operations while we concentrate on the legal solution.
3200 North Central Avenue
. Phoenix . Arizona