Do you depend heavily on the skills and judgements of others within your business? Are these people vital to its effectiveness and profitability? If so, have you considered the financial impact that the death or critical illness of such a key person would have on your business?
The impact could be:
- A loss of profit
- An interruption to cash flow
- An inability to make loan repayments
- A change in shareholder control
In some instances, the financial impact could be so great, that the business is unable to continue.
Business protection allows you to put in place cover that would ensure that funds become available, should a key person in your business become critically ill or die.
If you would like to find out more about how we can help protect the financial future of your business, please call us on 01253 89 40 50 to arrange an appointment.
There are two main types of Business insurance;
- Shareholder or Partnership Protection
- Key Person Protection
Shareholder or Partnership Protection
The success of your business depends on those who own and run the business. Have you ever considered how your business would cope if a partner or shareholding director died?
It is likely that the death of a partner or shareholding director would have a huge impact on the future of your business. The surviving partners or directors may struggle to continue the business or even to retain control of it. In the worst-case scenario, the financial strain may force the business to cease trading.
Similar problems could arise if a partner or shareholding director were to suffer a critical illness.
Your share in the business will be one of your most valuable assets and you will doubtless wish to protect this value for the benefit of your family.
Business protection can provide funds on the death of a partner or shareholding director. A legal agreement ensures that these funds are used to purchase the deceased’s share of the business from their estate. It is also possible for a similar payment to be made if one of the partners or shareholding directors suffers from a critical illness.
If you would like to find out more about how we can help protect your business’s future, please call us on 01253 89 40 50 to arrange an appointment.
Key Person Protection
Your employees are one of the most important resources for the future success of your business. Have you given thought to how your company would cope if a key member of staff were to die or suffer a critical illness?
The death or critical illness of a key person is likely to have a significant impact on your business. You could suffer a loss of profits, be unable to quickly recruit a suitable replacement and face significant disruption to your activities.
However, you can help protect the future survival of your business with key person protection, which can help your company financially cope with the loss of a key person.
If you’d like to find out more about how we can help protect the future of your business, please call us on 01253 89 40 50 to arrange an appointment.