Business Risk Insurance

Most business owners must implement a proper Business Protection Risk Management Plan so that when things go wrong you have a plan to work from.  There are many things and on-flow effects that happen to a business when a Key Person becomes incapacitated or dies while involved in the business.  Here are some questions that we ask our clients.

• What happens to your business if you die ?;
• Or, what happens to your business if you do not die and become disabled?
• If you do die, what happens to the debts and liabilities i.e. staff wages, taxation, loans, outstanding account etc?
• If you have borrowed against your own home, how do death or disability put your home at risk?
• Are you in a partnership? If you are and your partner dies, did you know your partners spouse becomes your business partner? (whether you like it or not) so do you have a partnership agreement in place and how are you going to fund this?

There are many questions to ask yourself about your business and if you think your business will be ok if you cannot work in it, just do the good old simulation test.  We are serious! Just let your staff know you will not be into work this week and see how your business runs.  If your business runs ok with no problems the great.  If it does not, then this will at least give you an idea of what you need to plan for and the areas in which you need to pay attention to.

Correct insurance protection will assist as part of this process and provide funds when you need them.  In the scenario where you cannot perform and need fund, you may find that your banker becomes a little nervous lending money to a business when the main driving force is not there and unable to perform.

In short, a proper Risk Management Plan for your business, must be one of the areas you need to work on and get in sorted.  Getting the right Business Risk Management plan is never urgent...until you need the money.  Don't procrastinate and contact us now.