At Bastion Wealth we provide business insurance advice to enable your business to continue to operate efficiently if an unforeseen event such as a permanent injury/illness or even death was to occur to a keyperson or director of the business. You may have complete confidence in your business partners’ ability to contribute to and run the business. However, in the event that your business partner were to pass away, their ownership of the business would be determined by their Estate Planning arrangements (their Will).A common occurrence In this scenario, is for the surviving spouse to inherit the deceased business partners ownership of the business.
One of two detrimental outcomes can occur. Firstly the surviving spouse who may have no experience or knowledge of the business can either assume control of their deceased spouse’s share of the business, with little or no acumen on how to operate it. Secondly the surviving spouse may request for a significant sum of money to be paid out in exchange for leaving the business. In both scenarios the likely outcome is that it will leave the business in financial ruin.
This common occurrence for business owners can be easily avoided by contacting our specialist Bastion Wealth Financial Planners and discussing the following insurances.
Key person insurance
Directors loan protection
Business Expense cover
In basic terms these contracts are ‘business pre nups’!
Contact Us (03) 9480 2932