Many Florida residents assume that the more money a couple has, the easier it is for them to move through a divorce. It may be true that spouses who divide significant assets can have a rosier outlook on life as a single person, but getting to that point is not always simple or easy. There are many cases in which high net worth clients can have difficulty finding the funds needed to get their divorce off the ground. Several companies have stepped in to fill the need for divorce funding, and focus primarily on high asset divorce cases.
At the onset of a high asset divorce, the spouse who controls the family's wealth may make every effort to cut off the other spouse's access to martial funds. That makes it difficult if not impossible to secure the services of an attorney, and to get the divorce process started. Even though both spouses have the right to a share of marital wealth, the early stages of a divorce can be rocky. Divorce financing companies offer spouses the ability to borrow money to fund their divorce needs.
The lenders evaluate each client's financial standing prior to offering a loan. When it is clear that there are substantial assets held by the family, and when there is little doubt that the borrowing spouse will receive a sizable share of those assets, then an offer of funding is extended. That is a good fit for the cash-starved spouse, and a solid lending opportunity for the lender.
In years past, many high net worth clients walked away from a divorce with a lesser share of marital wealth, simply because they lacked the funds to "out litigate" their partner. That is not a fair or just outcome, and access to divorce funding is a service that levels the playing field. It is hoped that no Florida spouse needs to make use of these services, but it can be comforting to know that they exist as an available option.
Source: Forbes, "Lack The Liquidity To Hire The Right Divorce Team? Divorce Finance Could Be The Solution", Jeff Landers, July 11, 2017