Barrington Professional Practice Valuation Lawyers

Representing Professionals Throughout Northwest Illinois

Valuing any business is a complex task. However, professional practices have unique characteristics that make valuing them especially challenging. It's important to have an experienced professional practice valuation attorney representing you in this process.

For more than 25 years, the Barrington professional practice valuation attorneys of Lucas Law have represented medical providers, accountants, attorneys and other professionals throughout Illinois in the valuation and division of their professional practices in divorce. For knowledgeable advice on professional practice valuation, contact us online or call 847-381-8700.

Characterizing And Valuing A Professional Practice

One of the first steps in valuing a professional practice is characterizing it as separate or marital property. In Illinois, any assets that were acquired during marriage are considered marital property and must be equitably divided in a divorce. However, even a professional practice that was established before marriage can be considered marital property if it was funded with marital assets. Any growth during the marriage may also be considered marital property. Additionally, if one spouse funded the other's education or licensure, he or she may be entitled to compensation through spousal maintenance or a disproportionate property settlement.

An important factor in determining a practice's value is goodwill. Much of the practice's value rests on enterprise or personal goodwill. Enterprise goodwill is related to the practice's reputation and its ability to succeed without any particular professional. Personal goodwill is based on the practitioner's skill and reputation. Enterprise goodwill is transferable while personal goodwill is not transferable and is generally not awarded to a spouse in a divorce. Our lawyers are familiar with the standards used by the courts to determine the personal and enterprise goodwill in a practice.

Working closely with business valuators and forensic accountants, we will review the financial statements, partnership agreements and buy-sell agreements of the practice to accurately determine its value. You can rely on us for discreet, knowledgeable representation.

Contact Our Lake Zurich Professional Practice Valuation Attorneys

At Lucas Law we understand the unique complexities of dividing a professional practice in a divorce. To discuss your case with of our experienced lawyers, contact us online or call 847-381-8700.