To ensure financial solvency and to protect assets, some individuals may choose to sign a prenuptial agreement. The decision to get a prenup, however, should not be based on wealth. No matter your financial situation, a prenup could add a layer of protection to your finances and benefit your relationship.
First and foremost, prenups are an essential tool for business owners. In the event of a breakup, this agreement protects small businesses by keeping commercial assets with the owner. Divorce lawyers may try to claim partial or full ownership for their client, even if the client was not involved in the day-to-day operations of the business. A prenup ensures one party maintains legal ownership. Building a small business is a monumental task, and business owners can help ensure the integrity of their life’s work by seeking counsel from an attorney before tying the knot.
Prenups are not just an arrangement reserved for the wealthy. If one spouse enters a marriage with a significant amount of debt, a prenup may protect the other spouse from these debt obligations. In some instances, one party may have to relocate or quit a job for the marriage. Upon divorce, it may be challenging to find employment. A prenup could make this person financially whole by providing support.
Defining a Relationship
While it’s not romantic, the process of sitting down and discussing finances and goals can strengthen a relationship. Couples need to have an open dialogue and a shared vision of proper money management. Disagreements over money can dissolve a marriage. A prenup is a preventative measure that removes all ambiguity. It gives couples a solid foundation to build a long-lasting marriage.
A divorce lawyer can prepare a prenup. During a consultation, this attorney should cover these benefits as well as other logistical information to help you make an informed decision. Remember, a prenup can strengthen the bond between two people all while providing invaluable asset protection.
Thanks to Andrew Bird on flickr for the image used in this post.