No one likes to think about the unimaginable happening, but if your business partner unexpectedly died, it could have a significant impact on you, your family and your business.
Have you considered what would happen to a business partner’s shares if they passed away? The most likely scenario is that the remaining business owners will want to buy those shares to retain control of the business. Sounds pretty simple right? However, having access to the sums of money needed to fund such a purchase is something that they may not have.
If the shares cannot be purchased by the surviving business owners, then the following could happen:
It is also worth considering what if it was you that passed away and your family had no interest in running the business. You would want them to be protected and receive a fair price for your shares so that they can move forward and be financially supported.
Shareholder Protection provides a lump sum to the deceased’s family in exchange for their shares, giving the remaining directors reassurance that the business can continue in the way it was intended.
Let us help your business to look forward to a brighter future by putting the right protection in place.