You may also need to consider the impact on your business of the death of a key employee or business partner. Would you have the funds available to buy your co-owner’s share of the business from their family? Would the business be able to sustain the financial loss on the death of a key employee?

We can sometimes neglect to protect our most valuable business assets: the men and women whose talent, experience and judgement contribute substantially to the financial health of the organisation. These key staff represent the heart of every business especially small or family run businesses. Prolonged absence through serious illness or even death can result in big losses or even closure.

Who Are Your Key People?

A keyperson is anyone who the company depends on for its continued success and whose death would have serious consequences for the survival of the company.

Insurance to Protect Your Business

Many businesses will not have employees with the same knowledge, experience, judgment and reputation as the deceased employee. Sourcing an external candidate and in particular, the recruitment and training process can be slow and expensive. The effect of losing a key staff member goes well beyond simply the cost of their salaries and the cost of replacement. As they’re central to your businesses, their loss will knock on to the bottom line. You can insure for loss of profits too!

Protect Shareholders or Partners

Here we are talking about insurance to protect interests in the event of long-term illness or death. Families may want to sell their stake in the business but the remaining members in the business may not be able to afford to purchase but do not want those stakes held by newcomers

This Insurance is a must for all businesses.  It can’t replace people but it can provide cash to buy time and cover the costs of temporary staff, recruitment or loss of profits.

A Financial Broker has the expertise to help you identify your business protection needs whether you are a Sole Trader, Partnership or Limited Company. Business Protection is an effective solution that can ensure there is a capital lump sum available to buy the deceased business partner’s share and / or help offset the financial impact of a key employee’s death. Having the means to buy a deceased partner’s share allows the remaining partners to retain full control of running of the business.

You can’t predict the future but you can plan for it.