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Fort Bend Divorce Lawyer, Scott Broussard
Fort Bend & Sugar Land

Fort Bend & Sugar Land Divorce & Family Lawyer

"The end of your marriage is not the end of your life.  It is a new beginning.  Let Me Help." - Scott M. Broussard

Family Attorney Scott M. Broussard has earned a reputation as a skilled litigator and effective negotiator.  He is most comfortable in the courtroom where he fights to protect his client's interests.  

If your case is too important to trust to just any lawyer, contact Sugarland & Fortbend attorney, Scott M. Broussard today.



Scott M. Broussard

Attorney at Law

Richmond Office
610 South 11th Street

Richmond, Texas 77469

Sugar Land Office
2299 Lone Star Drive
Sugar Land, Texas 77479





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You may be wondering what the value your small business will be assessed in the divorce context. Unlike stock, an automobile or boat, a house, or even the dog, it is much more difficult to place value upon a business than other assets. Unlike a car or stock, the true value o a business will require an expert's opinion. In the small business context, it is very common for the proprietor to be the motivating force behind the business' success.

The theory of valuation of a small business depends upon future benefits that accrues to its owner. The value of the business therefore depends upon an estimation of the future benefits and the rate return on those benefits discounted to present value.

Market Theory: In general, the value which is being divided in the divorce context is the market value - what a free and willing buyer will pay for the interest today. "Fair market value has been consistently defined as the amount that a willing buyer, who desires to buy, but is under no obligation to buy would pay to a willing seller, who desires to sell, but is under no obligation to sell." Watson v. Watson, 971 S.W.2d 687.690 (Tex. App.-Waco 1998 pet denied). If there is no compulsion, if there is no duress, then the market value is what a willing buyer will pay for the business interest assuming the seller is willing and under no compulsion.

Intrinsic Value: In the absence of a market value, the actual value of the property may be shown. Intrinsic value means "an inherit value not established by market forces, a personal or sentimental value of the thing itself; the value of the property use to the owner, a concept of the fundamental or real value of the asset.

What is the value of the professional practice, the family owned business or small business? Oftentimes, this is the most important single asset in a marriage. The classic American tale - husband and wife, one or the other, come up with "the idea" that becomes a viable and successful business. The entrepreneurial effort is engaged. After the sweat, the trials, the long hours and tribulations, the family owned small business starts throwing off the income, generating a lifestyle that the parties have become accustomed to. This is an asset that has to be divided in the divorce context. But - what is the value and what are we dividing. In the words of the seminal Judge Learned Hand “In the end value is no more than the opinions of those who have, and those who have not, when they coincide.Judge Learned Hand, Rice v. Eisner, 16 F.2d 358 (2d Cir.1926), cert. denied, 273 U.S. 764 (1927).

This article and its associated daughter pages address the different methods and analysis of valuating the professional practice or the small family owned business in the divorce context. A Note: it seems that on every divorce website out there you will see the phrase proffered by some attorney - "specializing in complex property cases." No attorney is a specialist in business evaluation. An attorney's job is to put together the evidence, posture the case for settlement and/or make the presentation to the court. It is business appraisers together with accountants who ultimately provide to the attorney the business evaluation. The attorney then takes the best course for the benefit of his or her client.

An initial step in determining the true value of a business is to determine what form the business has taken. Whether a sole proprietorship or a corporation, this should be given due attention. Let me talk your case out and help you to navigate this crucial area of your divorce.