Starting or running a business is one of the most rewarding things you can do. But if you’re a business owner in Texas, there’s one thing you might not have thought about: how marriage could affect your company.
In a state like Texas, where community property laws apply, a prenuptial agreement can be one of the most important tools to protect your hard work.
Community Property and Your Business
Texas law presumes that property acquired during a marriage belongs to both spouses. That includes income, investments, and in many cases, business interests. (Texas Family Code §3.002)
That means if your business was started or grew significantly during the marriage, it could be considered community property—even if only your name is on the paperwork.
How a Prenup Can Help
A prenup lets you set the rules for how your business will be treated in the event of a divorce. With one in place, you can:
- Define the business as separate property, protecting ownership rights
- Clarify how profits and debts will be handled
- Ensure that business growth or new investments don’t get tangled in community property claims
- Prevent disruption to business operations if divorce happens
Real-Life Scenarios for Business Owners
Here are a few common situations where a prenup makes a real difference:
1. Family Businesses – If your company has been passed down for generations, a prenup can ensure it stays in the family, rather than being divided in divorce.
2. Partnerships – If you own a business with other partners, a prenup can help avoid conflict by keeping ownership clear and uncontested.
3. Rapid Growth – If your startup is expected to grow quickly, a prenup can make sure that growth doesn’t automatically become shared marital property.
What About Existing Businesses?
If you’re already married, you may not be out of options. Texas law allows for postnuptial agreements, which can provide similar protections even after the wedding. (Texas Family Code §4.102)
Final Thoughts
For Texas entrepreneurs, a prenup isn’t about mistrust—it’s about being realistic and responsible. Just like you’d protect your business with insurance or contracts, a prenuptial agreement protects it from uncertainty.
If you own a business or plan to start one, taking the time to create a clear agreement can give you peace of mind that your hard work will be safeguarded—no matter what the future holds.