Safeguard your business with Shareholder Protection
Protecting your business and its’ interests is paramount to ensuring success. If a shareholder or proprietor suffers a major illness or passes away it is important to have cover so the business can continue to fully operate. Shareholder Protection insurance is used to provide security should the worst happen.
This type of insurance policy can be put in place so that if a shareholder, or owner, falls ill or passes on there is a guaranteed lump sum set aside to purchase the shares and ensure the smooth running of the business or organisation. Without protection shares could be inherited by family members or other individuals outside the organisation, affecting company stability and profitability. This could mean that the daily running of the business is brought to a standstill whilst the situation is resolved.
Shareholder Protection not only makes it simple for remaining shareholders to acquire stakes in their own company but it can also provide for the family and dependants of the gravely ill or deceased stockholder.
If shares are automatically passed to a beneficiary in the event of a death, having Shareholder Protection in place ensures that a lump sum is readily available to purchase these thus giving the deceased’s family financial security in the bleakest of situations.