Wills are something most individuals leave until the later stage. However, business owners must remember that is their legal responsibility to handle their business matters. Should an untimely event occur, it is crucial to find someone who will execute their wishes for their business.
By making the preparations earlier, this aids the grieving process for their loved ones as this will help in decreasing stress. This will also apply to their employees by giving them structure in how to handle business affairs.
The will is a legal document which shows how an individual’s possessions and assets will be allocated, and instructs the executor how to do so. The resulting decisions may vary for families and business partners. Yet, the will gives the individual an opportunity to decide on how to divide their possessions and assets, otherwise the law will be in control. The “intestacy rules” is utilised by the law on dividing the deceased’s assets and property.
It is important that business risks is minimised. Should business partners stay displeased with the resulting decision, this may hinder the progress in business. Not writing a will would also cause issues for loved ones. Consequently, they may find themselves resorting to sell their homes to cover business expenses such as debt which can add to further grief. If financial commitments are not met such as resolving debt matters, employees can also be at risk of unemployment.
By creating a will, this will reduce the chances of the business liquidating and legal battles. For example, there are occurrences where the law may equally divide an individual’s assets and possessions between the business and their next of kin. So, the law can still disregard their “cohabited” partner, because they are not viewed as a spouse in the process.
In order to dispel possible disagreements, the business owner should be rigorous in succession planning with their family and business partners. This can protect their business as a result. Business property relief can be granted which affects inheritance tax from on the company. Ergo, less inheritance tax can be paid which would increase financial security for loved ones and the business.
So, writing a will sooner can help to reduce uncertainty. Also, this can protect the business and families’ interests from financial hardships. Another benefit includes the will enabling the individual to have a voice if there are unforeseen circumstances such as mental deterioration. To start this process, you can seek advice from your local will writing solicitors wherever you are based.
Lawyers can help by giving directions and sourcing the relevant documents to sign. If you are worried about your employees’ future and happen to be a sole proprietor, advice can be sought from employment solicitors or a financial advisor. By doing so, you can have a peace of mind on securing the future of your business and loved ones.