Not knowing what's round life's corner
means Business Protection could really pay off...
When it comes to business, the loss of a
key person can put immense pressure on
remaining owners and senior directors.
Apart from increased workloads and
potential loss of profits, there may well be
the added burden of financial
commitments, such as outstanding
business loans.
Many businesses have to borrow money
to start up or expand and often their
ability to repay it lies with a few key
people.
Businesses need to make sure they have
enough cover in place to pay an
outstanding loan if something happens
to those people.
Business Loan Protection helps the business pay
any outstanding borrowings such as a loan or
commercial mortgage, should the person(s)
covered, die or become diagnosed with a specified
critical illness (if chosen).
Lenders usually require this cover and directors
may give personal guarantees and/or use their own
residential home as security. Therefore there is the
added need to make sure dependants of key
people are protected too.
Director Loan Accounts
Sometimes directors makes loans to their business,
either by making a cash injection, or leaving salary,
bonus or dividends in the business. This is generally
referred to as a director's loan account and it
becomes repayable to the estate if the director
dies.
Therefore, businesses need to include this in the
life cover sum they are insuring.
The fundamentals...
Business Loan Protection is either
life assurance or life assurance plus critical illness
cover, written on the life of the key individual or
individuals so that any money due can be used to
pay towards any outstanding debt or loan.
Please remember that cover will lapse if premiums
are not maintained.
As independent financial advisers we can tailor a
plan that suits your needs and budget perfectly:
giving you the peace of mind that your business
is protected against the financial impact of
untimely death.
Here to help and advise
...Call us today on 0161 477 2636 and speak to
Nicola Butterworth or Kerry Hennessy.
Or send us an email to
[email protected]
Kind regards,
The Team at
Allens Wealth Managers
For more information on Allens Wealth Managers services please visit our website at www.allenswealth.com
123 Wellington Road South
Stockport
Cheshire
SK1 3TH
Allens Wealth Managers LLP is an appointed representative of ValidPath Ltd which is authorised and regulated by the Financial Conduct Authority.