Valuation Considerations for HNW Executives & Entrepreneurs

In this AZ Coffee Talk we discuss and take questions regarding the considerations in valuing executive compensation packages and small-businesses in divorce. While some divorce cases are relatively cut and dry from a financial standpoint - meaning you can easily identify and value assets for division, and calculate income for support - in others - it’s the process has more layers. If it’s not properly handled it can cause you to either leave money on the table that’s yours or cause you to overpay.

Topics we cover are what the courts take into consideration regarding valuing:
- Stock options and equity comp for executive compensation
- Severance pay-outs
- Cash receipts, expenses and excess earnings for small and closely-held businesses

We also discuss the role executive contracts can play in the the situation, how to avoid "double-dipping" after the valuation process of a small-business, tax implications you want to consider and how a prenuptial or postnuptial agreement can help avoid future problems and protect assets overall.