Mark de Krosse

A human, yet no-nonsense approach.

Divorce as a freelancer: What should you consider?

A divorce is a significant life event that often comes with intense emotions and uncertainties. For freelancers, there’s an added layer of complexity: alongside the emotional impact, you’ll need to think about the future of your business, your financial situation, and how to reorganize your time.

A new balance between work and private life

A divorce can, in a sense, be an “opportunity” to rethink how you spend your time. As an entrepreneur, you can adjust your working hours, for example, to create more and/or flexible time for your children or yourself. What kind of parent and entrepreneur do you want to be? This is a good moment to reassess your ambitions and priorities.

Ensure clarity

Divorces can often lead to uncertainties. In such cases, consider contacting a family mediator. This neutral intermediary can help clarify matters. Together, you’ll make arrangements regarding practical issues, such as dividing assets, wealth, or debts.

For freelancers, it’s particularly important to address business-related aspects. Consider what will happen to (joint) investments or assets connected to your business. Additionally, in some cases, the other partner may have been involved in the business in some capacity—such as bookkeeping, IT support, or cleaning.

When divorcing as a freelancer, creating clarity is crucial. By putting everything clearly in writing, you can prevent confusion and potential conflicts in the future.

Valuing your business

During a divorce, assets must be divided. A freelancer’s business is considered private property. If you married after January 1, 2018, the “limited community of property” rule applies; if you married before this date, the “community of property” rule is in effect.

When the value of your business needs to be divided, a fair business valuation is essential. The value of a freelancer’s business can vary widely, depending on factors such as equipment, financial reserves, and reputation (goodwill). An expert, like Mark, can assist with this process.

Practical advice for freelancers

Seek professional help: A family mediator can help ensure the divorce is handled properly. Mediators often have a network of specialists, such as tax advisors, financial planners, or mortgage consultants, that can be brought in when necessary.
Keep both business and personal finances well-organized: Ensure you have a clear overview of income and expenses for both personal and business administrations.
Communicate openly and clearly: A constructive attitude toward your ex-partner makes it easier to reach good agreements. This is particularly important if children are involved.

Moving forward

Divorcing as a freelancer comes with unique challenges, but with the right approach and guidance, you can navigate it successfully. Take the time to carefully organize everything and be realistic about your options. This way, you can make a fresh start both professionally and personally.