Daily Archives: October 18, 2024

Marriage, Divorce & The Family Business: What You Need To Know

When you enter into a married relationship, your life becomes intertwined with your partner. No one enters a marriage thinking it will fall apart. After all, marriage is the culmination of love.
Unfortunately, almost half of all marriages do not have a happily ever after and end in a divorce. All states have equitable property distribution laws that provide a framework for how property is distributed after a divorce. This property can include assets and family businesses.
Property Classification
As stipulated under its laws, the property distribution process has three steps: classification, evaluation, and distribution. The classification part of the process involves determining properties that are subject to distribution. When navigating this process, all parties and attorneys must be involved.
Under Georgia law, property is a broad term encompassing real and personal property. Real property includes immovable assets like houses, land, and commercial property.
On the other hand, personal property is movable assets such as furniture inventory and vehicles but also includes other assets such as stock, retirement accounts, and LLC membership interests. These properties fall into marital, divisible, and separate property categories.
Marital Property
Marital property is any real or personal property acquired by the parties during their marriage. It includes business ownership interest, retirement accounts, and stock portfolios.
Divisible Property
Divisible property refers to passive appreciation or depreciation of the marital property from the date of separation to the date of distribution. It also includes passive income and property acquired during the period and through the effort of both parties while still in their marriage before the separation.
Separate Property
Separate property refers to property owned by either the parties before their marriage or properties gained as part of inheritance or gifts during the marriage.
Valuation And Distribution
After determining distributable property, the next step is valuation and distribution. “Marital and divisible property value is divided equally among the divorcing parties. However, the court may give different directions for property distribution if it deems equal division not equitable,” says attorney Allen Russell of Atlanta Divorce Law Group.
When determining if the equal distribution is equitable, the court may look at properties individually owned by the divorcing parties.
The distribution process is arguably the most complicated because both parties may fight to keep specific properties, such as the marital home. The contention usually results from the emotions that come with a divorce.
Distribution Of Business Interests
Suppose a couple acquires an interest in a business during their marriage that is not part of an inheritance or gift. In that case, the business interest will fall under marital property and be subject to distribution.
The divorcing parties can choose different options for the future of their shared interest in the business. For example, they could decide to sell the business and distribute the proceeds equally among them. Alternatively, one party can keep the business and pay a distributive award to the other party, which would create cash flow problems for the party that retains ownership of the business.
You can protect your business from such an eventuality by signing a prenup agreement if you already have a business interest before getting into marriage. Also, you could create a post-marital agreement at different stages in a marriage. When done right, prenups and post-marital agreements can help protect your business interests and prevent your partner from laying claim in a business.

Small Business Growth Forecasts At Two-Year Peak Ahead Of Autumn Budget As Confidence Accelerates In North And Midlands But Stagnates In The South

The percentage of UK small business predicting growth for the final three-months of 2024 remains at the two-year high of last quarter (35%) – with significant upturns in growth forecasts across the North, the Midlands and among younger businesses – according to new research from Novuna Business Finance.
Despite market uncertainty about what lies ahead in this month’s Autumn Budget, Novuna’s findings follow reports that the UK economy returned to growth in August, with inflation falling back to the Bank of England’s 2% target – and tipped this week to fall below two per cent target for the first time in more than three years.
Jo Morris Head of Insight at Novuna Business Finance
The quarterly tracking research from Novuna, now in its tenth year, goes beyond an attitudinal snapshot of business confidence and instead tracks the percentage of business owners that forecast actual business growth each quarter. The last quarterly cycle of Novuna research, conducted immediately after July’s General Election, revealed a two-year high for the percentage of enterprises that predicted growth (35%). The new Q4 figures – 35% again – suggest this summer bounce-back was not a flash in the plan but could be the start of a new, sustainable, period of growth outlook for UK small businesses.
With the UK economy’s stagnation and recession moving towards a period of moderate growth, the Novuna Business Finance study indicates that, since the General Election, the Quarter-on-Quarter upturns in small business growth forecasts are happening in the North and the Midlands, rather than the South East or South West. In the North East, small business growth forecasts have jumped from 19% to 36% since the eve of the General Election. Novuna’s research noted similar rises in the North West (up from 23% to 34%), the East Midlands (27% to 37%) and West Midlands (up from 29% to 40%). Conversely, whilst growth outlook is usually disproportionately strong in Central London (57%), small business growth outlook has become subdued in the South East and South West, with no meaningful seasonal rises for Q4 (35% and 23% respectively).
Q4 2024

Q4 2024
(Oct-Dec)
Q3 2024
(July-Sep)
Q2 2024
(Apr- Jun)
This time last year (Q4 2023)

West Midlands
40%
32%
29%
27%

East Midlands
37%
32%
24%
16%

North East
36%
31%
19%
30%

North West
34%
26%
23%
30%

In addition to evidence of resurgent small business confidence in the North and Midlands, younger businesses (those trading for less than five years) have seen growth forecasts improve over four consecutive quarters during 2024. In contrast, among older businesses (those trading for more than 20 years), growth outlook has fallen this year. The smaller size and digital agility of younger businesses has, perhaps, made them more able to adapt to change this year.

% predicting growth: Q1 2024
% predicting growth: Q2 2024
% predicting growth: Q3 2024
% predicting growth: Q4 2024

Trading for less than five years
40%
46%
48%
51%

Trading for more than 20 years
30%
27%
36%
24%

The picture by industry sector on growth outlook has shown signs of volatility and variance over the course of 2024. That said, a 12-month view, comparing to the current position to Q4 2023, reveals that more small businesses now predict growth in the manufacturing, construction, retail, media, education, real estate and agricultural sectors. Since the General Election of early July, a greater percentage of business owners today predict growth in seven industry sectors: construction, retail, IT, leisure, media, agriculture and real estate

Q4 2024
Last Quarter (Q3 2024)
(week after the Gen Election)
Q2 2024
This time last year (Q4 2023)

Manufacturing
33%
35%
37%
24%

Construction
29%
36%
15%
21%

Retail
41%
37%
26%
33%

Leisure / hospitality
31%
30%
30%
35%

Finance & accounting
34%
44%
41%
45%

Legal
22%
38%
28%
31%

IT & telecoms
50%
38%
28%
50%

Media
47%
40%
36%
28%

Transport & distribution
29%
31%
34%
38%

Medical services
36%
39%
36%
44%

Education
34%
26%
33%
30%

Property / real estate
29%
28%
25%
21%

Agriculture
37%
40%
28%
26%

Jo Morris Head of Insight at Novuna Business Finance comments: “Whilst there is a lot of speculation on what lies ahead for businesses in the Autumn Budget, the last four months have been a period of relative positivity and consistency for UK small businesses. For the last two consecutive quarters, 35% of small business owners have told us they forecast growth, which represents a marked upturn from 30% before July – and the years between Covid and the cost-of-living crisis, which was a period stagnation in terms of small business growth forecasts.
“As the Government pledges to create equity of opportunity more broadly across the UK, it is noteworthy from our data that small business growth is on the rise across the Midlands and the North. There are challenges ahead this autumn, as eyes turn to the Autumn Budget and the economic ramifications of the US Presidential election result, but UK small businesses go into Q4 in their most buoyant mood for two years – and we at Novuna Business Finance will be supporting mature businesses to help them invest in future growth initiatives and to realise their full potential.”
*The research was conducted by YouGov among a representative sample of 1,040 small business owners. The research was conducted online on 1 October 2024

Opinion: Business resiliency goes beyond the backups

Breadcrumb Trail LinksBusinesses need to think beyond reacting to crises and start preparing to thrive in an ever-changing environmentPublished Oct 18, 2024  •  Last updated 3 hours ago  •  4 minute readPhoto by GETTY IMAGESArticle contentIn today’s fast-moving digital landscape, business resilience has become much more than simply having backups and disaster recovery plans. While reactive measures—like backups and incident response—are crucial, businesses now need to think beyond survival. True resilience is about thriving in the face of change and being agile enough to seize opportunities as they arise.Advertisement 2Story continues belowThis advertisement has not loaded yet, but your article continues below.Article contentResiliency can be viewed in two key ways: reactive and proactive. While the reactive approach focuses on protecting the business from immediate risks, proactive resiliency ensures that the business can adjust to market changes, technological shifts, and evolving customer needs. Let’s explore the differences and why proactive resiliency is essential for future success.Reactive resilience: The foundationAt its core, reactive resiliency focuses on preparing for and responding to disruptions. The traditional approach, which includes having data backups, incident response plans and disaster recovery procedures, ensures that a business can withstand and recover from threats like cyberattacks or IT failure.Advertisement 3Story continues belowThis advertisement has not loaded yet, but your article continues below.Article contentHowever, while these measures are foundational, they only prepare the business to respond after a disruption occurs. In the modern landscape, where speed and adaptability are critical, reactive measures alone are no longer enough to ensure long-term success. Businesses need to think beyond reacting to crises and start preparing to thrive in an ever-changing environment.Proactive resilience: The key to thrivingProactive resilience takes a different approach. Instead of just responding to problems, it’s about anticipating and adapting to changes before they become critical. Businesses that embrace proactive resilience are positioned to not only survive disruptions but also to evolve, adjust to market conditions and stay competitive.Advertisement 4Story continues belowThis advertisement has not loaded yet, but your article continues below.Article contentHere are the key elements of proactive resilience:Agility and adaptability: Proactively resilient businesses are structured to respond quickly to changes in the market, whether those changes are due to customer demands, regulatory shifts or competitive pressures. This agility allows them to pivot, launch new services or scale their operations without being tied down by legacy systems or bureaucratic processes.Cloud-native flexibility: Embracing cloud-native architectures and automation enables businesses to scale, innovate and leave tech debt behind. This flexibility ensures that companies are not held back by rigid legacy infrastructures and can respond quickly to both risks and opportunities.Advertisement 5Story continues belowThis advertisement has not loaded yet, but your article continues below.Article contentCultural resilience: A proactive culture encourages continuous learning, cross-functional collaboration and a mindset of innovation. By building a culture that emphasizes high cooperation, rapid information sharing and empowered teams, businesses create environments where employees can make swift decisions that drive the organization forward.Continuous improvement and innovation: Proactive businesses aren’t just focused on recovery; they are constantly improving their processes. This includes leveraging automation to enhance operations and security continuously.Proactive risk management: Instead of waiting for threats to surface, proactive resilience involves identifying risks early and mitigating them before they become disruptive. Most importantly, this goes well beyond the cybers; companies need to address the risk of technology debt, tribal knowledge and fault intolerant processes.Advertisement 6Story continues belowThis advertisement has not loaded yet, but your article continues below.Article contentWhy businesses need proactive resilienceThe difference between proactive and reactive resiliency is not just about technology; it’s about mindset and strategy. Companies that focus solely on reactive measures risk being left behind by more agile competitors who can move faster and innovate more effectively.In today’s business environment, organizations that adopt a proactive resiliency approach are positioned to lead. They can adjust to emerging technologies, shift with market demands, and leverage innovation to remain competitive. Whether it’s through automating security processes, fostering a culture of innovation, or embracing cloud-native capabilities, proactive resilience ensures that businesses can thrive—not just survive—through the inevitable changes and disruptions that lie ahead.Advertisement 7Story continues belowThis advertisement has not loaded yet, but your article continues below.Article contentWhat should businesses consider for the future?To be a truly resilient business in the future, companies must move beyond just having backups and disaster recovery plans. Here’s what executives should consider:Modernize legacy systems: Outdated technologies limit agility, slow down responses to market changes and make your business fragile. Move towards modular, cloud-native infrastructures that are scalable and flexible.Foster a generative culture: Cultivate an organizational culture that encourages continuous improvement, knowledge sharing, and quick decision-making. This cultural shift supports innovation and keeps the organization agile.Invest in automation and innovation: Automate repetitive processes and implement a continuous improvement culture. This investment will drive both security and business efficiency.Advertisement 8Story continues belowThis advertisement has not loaded yet, but your article continues below.Article contentEmbrace agility: Build agility into your business processes, technology stack, and security practices. By remaining agile, you can adjust to unforeseen challenges and capitalize on new opportunities as they arise.Ultimately, proactive resilience ensures that your organization is ready for the future—prepared not just to react to crises but to lead the way in a changing world. Businesses that can anticipate and adapt to change will not only weather disruptions but will come out ahead in the competitive landscape.This article first appeared on Canadian Cybersecurity Network.This section is powered by Revenue Dynamix. Revenue Dynamix provides innovative marketing solutions designed to help IT professionals and businesses thrive in the Canadian market, offering insights and strategies that drive growth and success across the enterprise IT spectrum.Article contentShare this article in your social networkComments Join the Conversation Featured Local Savings