As someone who owns shares in your own business, your focus will be on working with your fellow shareholders for the future benefits of the business. However, should something untoward happen to you, would your beneficiaries share the same goals?
Your fellow shareholders may be forced to work with partners who do not share your interest in the business. Equally, your beneficiaries could find themselves in the unfortunate position of owning shares that they are unable to sell.
As always, effective planning is the solution.
A Share Purchase Assurance is everyone’s way out of this unfortunate situation. This insurance policy ensures that surviving directors are able to purchase shares from the deceased’s beneficiaries, thus keeping business disruption to a minimum. Additionally, the beneficiaries receive a cash sum for the value of those shares that will help the loss of earnings.
Deciding on the necessity and structure of a Share Purchase Assurance is fundamental to the future protection of both your business and your beneficiaries. We can help you make those decisions