Specific Issues Brad and Claudia Faced:
Brad, a serial entrepreneur, was always convinced his next venture would be the “big break.”
Claudia, however, had grown frustrated with Brad's long hours, extensive travel, and unfulfilled promises of financial security.
While deeply loving her children, she felt taken advantage of as the default caregiver.
She was also tired of investing their money into Brad's ventures, longing instead for a house to raise their children in.
Agreeing on the Issues
Before exploring solutions, it was important for Brad to see things from Claudia's perspective.
To assist with this, I asked them to map out their schedules for the next three months.
This exercise revealed that Brad would be traveling for 10 out of the following 12 weeks, with the remaining two weeks most likely spent working late nights at the office.
Claudia's work schedule, while more predictable and closer to home, was both physically and emotionally taxing. This, combined with her role as the children's primary caregiver and her professional responsibilities, left Claudia exhausted and without personal time or balance.
To address this, I encouraged Claudia to include activities she longed for but often sacrificed due to her multifaceted responsibilities, such as yoga classes, book club meetings, and monthly dinners with friends.
This comprehensive visualization allowed Brad to fully grasp the extent of Claudia's contributions: juggling a demanding career, shouldering the majority of childcare duties, and managing household responsibilities.
It illuminated the significant personal sacrifices Claudia was making and the toll it was taking on her well-being.
On the financial front, I had them compile an accounting of marital funds invested in Brad's ventures.
This revealed that over the past decade, the couple had invested nearly $250,000 in Brad's business pursuits – a sum that could have been a substantial down payment on a Bay Area home.
Presenting this aggregated amount helped Brad realize the significant funds that were redirected from home ownership to his entrepreneurial endeavors.
Developing Mutually-Beneficial Solutions
Once Brad and Claudia were on the same page, it was time to move into solutions mode.
Regarding timesharing, we defined what "active parenting" would look like for Brad.
Claudia agreed to 10 days a month, with the understanding that Brad might need to travel more frequently in certain months.
As long as he parented for 30 days in a three-month period, she agreed to work with him to determine his parenting time on a monthly basis.
A framework was developed for them to meet quarterly and compare calendars to agree on parenting time for the upcoming three months.
This process would continue until Jackson entered first grade, at which point they would reassess whether to implement a more regular parenting plan based on the ratio of 2:1 parenting time, or continue the review process for another year.
Regarding Brad's equity, an agreement was negotiated recognizing their joint financial contributions to Brad's ventures over the years.
If Brad's company were to go public within five years of their divorce, Claudia would receive a 25% share of the net value of Brad's ownership stake. Brad could either sell company shares or provide a cash payout.
In years six through eight, Claudia's share would decrease by 5% annually until reaching 10%, where it would remain. At the company's current valuation, 10% would still provide Claudia enough for a home down payment.
