P&C Partners
The most valuable asset to any successful privately held business or non-profit organization are its owners and key employees. Partnering with Strategic Alliance Wealth Group helps P&C Agents protect business owner clients against the leading risk of business disruption, the loss of a business owner or key employee.
It is estimated that only 2 out of 10 businesses have a formal buy/sell agreement in place and properly funded in the event of the death of a business partner. Business owners often leave their business exposed to unnecessary risk with an unfinished or informal succession plan, or is based on a verbal agreement that is not legally binding. A properly drafted and funded buy/sell agreement immediately eliminates the risk of business disruption due to the death of a business partner, providing liquidity to buy out the outstanding business interest, thus eliminating the risk of who inherits the business interest, such as a spouse, child etc.
More so than buy/sell agreements, the vast majority of businesses are even less prepared for the unsuspecting loss of a key employee. Key employees are those that that hold invaluable intellectual property, manage accounts that make up large portions gross revenues or have a unique skillset that is incredibly difficult to replace. For the majority of small businesses, greater than 80% of overall gross revenues can be directly attributed to a handful of key employees, and the event of losing a key employee is a major disruptor for business operations. Partnering with SAWG gives P&C agents the ability to provide strategies that efficiently retain their client’s key employees, and effectively protect their client’s business from disruption.