"We aim to raise awareness of the need, provide insights into various aspects of the market, and give advisers a greater understanding of business protection."
If you want to register for Business Protection Focus Week, follow the link here
Businesses in the UK currently face significant challenges, and whilst some financial risks are considered, they often aren’t prepared for the loss of an owner or key member of staff.
“Financial advisers are well-positioned to have those discussions and provide businesses with peace of mind.”
Small & medium-sized enterprises (SMEs) are thriving in almost every sector of business, be it retail, construction, finance, or health. At the start of last year, roughly 5.5mn SMEs were operating in the UK.
According to the Department for Business and Trade, the number of employees in the SME market is over 16.6mn - that equates to around 60% of all private sector staff.
This figure shows just how many people depend on SMEs, all of which could be severely affected by the loss of an owner or key member of staff. Considerations should include:
- What would happen if an owner were to die?
- If the business lost a key member of staff, how would this impact future profits, ability to trade, and expenses, e.g. cost to find a replacement?
- How could the business service any borrowings or repay debts if it lost a key person?
- Would this affect the repayment of money owed to their estate, such as through director loan accounts? What would happen if a lender called in the security?
- How would the long-term plans for the business be affected if it lost a key person?
- How can the business safeguard its employees and families, who rely on its success for their livelihood?
“Too many advisers aren’t engaged with business protection. To educate those interested in these products, we’ve launched Business Protection Focus Week.”
There are various bodies across the industry proving the benefits of collaboration to advisers – and ultimately, customers. From a brief initial discussion with a few other like-minded specialists, I proposed launching Business Protection Focus to deliver a week of insight.
At the moment, we are working with advisers (Pangea Life, Lifesearch, Wealthmax, Towergate, Way More, Wyke Financial, Omny Benefits), insurers (LV, Royal London, Zurich Insurance, Vitality, Legal & General, Scottish Widows, Aviva, Unisure), experts (QB Partners, CIExpert, iPipeline, Iress, Federation of Small Businesses), and a reinsurer (Swiss Re).
“We aim to raise awareness of the need, provide insights into various aspects of the market, and give advisers a greater understanding of business protection.”
Business Protection Focus Week will have sessions on demystifying business protection, how to write various types of cover, conversational skills to bring the need to life, international opportunities, and the impact of budget changes & salary exchange, amongst others.
I've spoken to advisers, accountants, and other professionals who support businesses daily who aren’t aware of business protection or lack confidence in discussing it. The conversation never starts with a product or tax implications, but with good questioning and listening skills.
