Have you considered what would happen to the shares of a shareholder if something unexpected happened? Shareholder Protection is a vital tool to provide you with a lump sum in the event of death or critical illness and this would enable your company to buy the shares of the relevant business co-owner.
Without Shareholder Protection an unexpected event could be devastating for the business and its structure. If a co-owner or shareholder were to die, the shares could go into the deceased estate and commonly be inherited by the spouse (or partner). This may cause a number of serious problems, such as:
Partnership Protection is essential for most companies that are structured as a partnership. If anything should happen to a partner (death or serious illness) then your insurance cover would pay out a lump sum to assist the remaining partner(s). You could then purchase the deceased's share of the business. Without protection, raising capital to fund such an acquisition could be disruptive and problematic.
If a partner were to die, the share of the business would generally fall into the deceased estate and may be inherited by the spouse (or partner). This:
The main reason to acquire this cover is to protect the ongoing operations of your company, and to look after the deceased's family by ensuring they receive a fair price for their proportion of the business.
We are a team of specialist advisors who are authorised to provide regulated advice. We will demonstrate the best available options available to your company after taking into account all of your circumstances. We are impartial and will search the market extensively to ensure that we find you the best value cover for your needs.
