Unfortunately, the threat of a lawsuit is always there when you own a business. No matter how hard you work, you can’t always please everyone. Because of this, you must do everything that you can to protect your assets just in case. Here are some more tips to do that.
Have all assets in your spouse’s name. Owning a business can be risky. To avoid losing your home and other assets, you should place as much of it as you can in your spouse’s name. This means that, if someone comes after you, they can’t touch your assets because technically, they are not yours!
However, you must be careful with this route if your relationship is not solid. If you end up getting a divorce and nothing is in your name, you are going to have problems when you divide up your assets.
If that is not an option, you might want to look into tenancy by the entirety. This means that if you put your personal property into tenancy by the entirety, your property can’t be attacked in a lawsuit, even if your name is still on the title. Talk to a professional about how you should title your home.
Have the right insurance. Insurance is there to protect you. You have home insurance for your home so what about your business? Talk to a professional to ensure that your business is properly protected. If a threat of a lawsuit is real, you might want to get more than the basic business insurance. Umbrella coverage will go above and beyond insurance to ensure that you are protected.
It is important to talk to a professional to ensure that you protect your assets in case of a lawsuit. They can help you title your home and other assets correctly to ensure they stay in the family. They will also make sure that you have enough insurance to protect you! Contact us to help you protect your assets.