Business Protection Planning;
Business Protection Planning is about putting a structure in place to protect the company and its directors should an untimely event occur.
There are different types of business insurance and they need to be dealt with individually. It is important that a policy is set up in right manner as there are different tax treatments for both the premiums and the benefits.
The main areas that are covered are:
- Keyperson – Loan
- Keyperson – Loss of Profits
- Shareholder – personally owned
- Partnership – personally owned
- Shareholder – corporately owned
As a business person you need to ask yourself some question:
- What would the impact of the death / illness of an individual have on your business?
- How important is that individual to the business?
- What shareholding does that individual have?
- What about ownership? Will it pass on to a third party or stranger?
- What about business continuity?
- Will there be disharmony? There often is following the death/illness of a businessperson.
- Is there enough cash in the business to repay any loans?You may need to put in place a Life Insurance Policy or a Serious Illness Cover to cover Shareholding Directors, Key Employees and Partners.
If you have any questions or would like to arrange a meeting contact Damien at: firstname.lastname@example.org or phone Damien on 021 4273334 and he’d be delighted to speak to you.