Be certain of your business’s financial well-being despite life’s uncertainties.
Irrespective of size, age or structure, every business carries risk. While starting, building and running your own business is undoubtedly a rewarding professional accomplishment, the challenges faced by a business owner can be complicated and harsh. At times you may feel as if you’re juggling more than you can comfortably manage.
With in-depth of knowledge and sound financial planning experience Lynnwood BlueStar will assist you, the start-up entrepreneur, the business owner or the self-employed professional to benefit from our comprehensive range of Sanlam-accredited solutions.
Surety Cover
Protect your family against business debt
orrowing money is common practice in growing and running a business. In terms of their credit policies, South African banks and other financiers usually require the owner of a business to sign surety on behalf of the business to secure a loan. This means that you, the business owner, or your estate will be personally responsible for repaying this debt, should you become disabled or pass away before the loan is paid back in full. In order to repay the business’s debt, you or the executor of your estate may have to use capital that was intended to take care of your family, leaving them unprotected.
Sanlam’s Surety Cover protects your estate against creditors of the business, for which you signed surety, in the event of your death or disability.
Buy and Sell Cover
Protect your shareholding in the business
If you are a co-owner in a business, you need to think about the consequences should you or any of your fellow co-owners pass away. If you are the one to pass away, it will most likely leave your estate severely exposed, and the remaining owners could also face potential problems.
Key Person Insurance
Protect your business against key person loss
The most important asset in any business is its people. The ongoing profitability and sustainability and, as a result, the capital value of your business are largely reliant on the input of the key employees in the business. The loss of a key person could therefore pose a great risk to the business, and even lead to eventual ruin.
What is a key person?
A key person is someone whose absence through death or disability will have a material effect on the future of the business. If the key person is lost to the business as a result of death or disability, then the business could suffer a direct loss – whether it’s decreased sales, the high cost of replacing a skilled employee, or the loss of profits or sales while a new replacement is being trained.