{"id":8386,"date":"2021-08-12T01:51:04","date_gmt":"2021-08-12T06:51:04","guid":{"rendered":"https:\/\/gbfamilylaw.com\/?post_type=service&p=8386"},"modified":"2024-06-19T15:26:43","modified_gmt":"2024-06-19T20:26:43","slug":"business-valuation-in-divorce","status":"publish","type":"service","link":"https:\/\/gbfamilylaw.com\/services\/property-division\/business-valuation-in-divorce\/","title":{"rendered":"Business Valuation in Divorce"},"content":{"rendered":"\n
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Understanding Business Valuation in a Texas Divorce<\/h1>\n\n\n\n

When valuing a closely-held business, it is essential to have a thorough knowledge of the measures of value, the methods of valuation, and Texas case law. During a divorce, business valuation relies on well-established methods, procedures, and guidelines that must be followed. The choice of the method to be used depends on the type of business being valued and the judgment of the appraiser.<\/p>\n\n\n\n

How Is a Business Valued in a Divorce?<\/h2>\n\n\n\n

The deciding factors of how to value a business for divorce are obtained from either the assets of the business, its earning capacity, or a combination of both. Although there is a great deal of subjective judgment involved, the appraiser should rely upon specific\u202fgenerally accepted methodologies<\/a>\u202fand restrictions imposed by established case law. <\/p>\n\n\n\n

During a Texas divorce, valuing a business, especially a closely-held one, usually follows three main approaches: <\/p>\n\n\n\n