Plan to Protect Your Business: The Moment is Now

April 13, 2014

If you’re owner or partner in a business, you know very well the many challenges you have to overcome for it to be successful. For most businesses, success is directly related to talent management. Death, disability or even the early retirement of a key employee can threaten the continuity of your business and seriously impact its future income. The smart thing to do is to manage this type of risks instead of ignoring them.

Life and disability insurance are not just tools for your individual needs, but also a very valuable resource that can help you keep your business going in difficult times. Many business owners have benefited from the different types of insurance policies that exist to help them solve problems related to maintaining and growing a successful company.

Right now, is your business managed by a small group of key employees? Do you have an employee with a special or unique talent who would be very difficult to replace? If that employee is missing, would your credit availability be harmed? If one your key employees passes away you will need money to replace the income that is not generated; to identify, hire and train a replacement; to provide a financial reserve during the period after the employee’s death; and to provide benefits to that employee’s family.

Do you currently have a loan of commercial line of credit with a balance due?  For how much?  Are you thinking about applying for a loan in the near future? Regardless of how your business is structured, it’s very common for the owner to personally guarantee the repayment of commercial loans. That means that your personal assets could be in jeopardy if you or your partner dies while there’s a pending loan.

By the same token, if you were to become disabled, could your business run as usual? It’s very common for people who become disabled to have to liquidate their business, even if it’s a temporary disability, because they don’t have the funds to cover recurrent business expenses such as payroll, water, electricity, etc.

At Popular Risk Services, we are here to help. Contact us today at 787-731-6900. Invest a few hours planning for the protection of your business, and you will be safeguarding the value of your business for many years to come.

Insurance products are offered by Popular Risk Services.  Popular Risk Services is a subsidiary of Popular Inc and an affiliate of Banco Popular. Insurance products: are not a deposit or obligation of, nor are they guaranteed by the Bank or its affiliates and may lose value.  They are not insured by the FDIC or any other federal agency, the Bank or its affiliate.