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NSW Separation from De Facto Relationship - Business Startup Affected?

Discussion in 'Family Law Forum' started by Alex1978, 1 June 2015.

  1. Alex1978

    Alex1978 Member

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    Hi, thanks for assisting with my question.

    I've been in a de facto relationship that has recently ended, and we have had a child together. We share custody of our child roughly 50/50 since separation. I also have full custody of a child from a previous relationship that she sees 1-2 nights per week, as they have developed a bond and for the benefit of the child we have together. We've reached an amicable agreement on division of assets and support so far. During our relationship she was studying, then took a year off on maternity leave, and is now back to completing her studies.

    During that time I started a business, which now (post breakup) is starting to do well. Obviously this will affect my child support obligations (or the amount I voluntarily contribute, which is a fair bit more than my obligations), but I want to know what recourse she would have to the ownership of the business. As of the split, it had not made any sales and had few assets, however it could potentially turn into quite a large business over the next year.

    I realise I could enter into a binding financial agreement, but feel it could potentially reduce some of the trust and goodwill we currently have, so would only do this if necessary.
     
  2. Sarah J

    Sarah J Well-Known Member

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    Hi Alex1978,

    If you started the business during the relationship, or soon after separation, your business (or your shares in the business) forms part of the "shared pool". It is best to decide on a financial agreement between you and your ex instead of referring the matter to court. A financial agreement is smart, it does not reflect on your relationship at all.

    Take a read of "Property Settlement After Separation" to better understand property division.
     

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