In these uncertain times, it should be a priority to ensure that your affairs are in order.
For many entrepreneurs, their business and personal lives are interlinked, so considering what happens to business interests if you, or a co-owner, dies or becomes incapacitated is every bit as important as planning for growth or sale.
The role of director is critical for any business, but none more so than in owner-managed firms where the key individuals often hold tactical knowledge and contacts, as well as strategic vision and leadership. Sudden incapacity through accident, ill health or psychological trauma can cause significant disruption so it’s important to have a clear contingency in place.
Establishing powers of attorney for an owner’s business interests means that a trusted designated person is clearly nominated to step in to the decision making, representing the owner’s best interests.
Having a Lasting Power of Attorney helps everyone during a difficult period; relieving pressure from the individual and their family, while ensuring that business decisions don’t all fall on the shoulders of remaining shareholders. Powers of attorney may only be required as a temporary measure until an owner is back on their feet. But having a designated person to provide a safe pair of hands during a difficult time is even more valuable if an owner dies suddenly.
You should also make sure that you have an up to date Will in place, naming trusted people to sort out your estate in the event of your death and identifying who your preferred beneficiaries are if the worst happens. If you have young children, it is important to consider who you wish to act as their guardians if anything unexpected happens to you. You might also ask elderly relatives about their Wills and powers of attorney in case they need to address this as well.
The Private Wealth team can assist you and your family with this, without necessarily seeing you in person with a view to making sure these important protective documents are in place to give you some peace of mind.
Our article How to be productive in a pandemic may be of interest to you.
These notes have been prepared for the purpose of an article only. They should not be regarded as a substitute for taking legal advice