What happens to the Directors’ shares on death?
Have you and your co-directors discussed this? If nothing is put in place, you could find yourself in business with your director’s family!
Could you work with their Beneficiaries?
Has a plan been drawn up within the business that means a lump sum will be paid to the company which can then be paid to the beneficiary in the event of death? Has this been set out in a legal contract with the beneficiaries having a full understanding of the process in the event of death?
What impact would the death or severe illness of a key employee have on your business?
Would your business suffer losses if you lost a key employee? Could your business survive without a key employee? How difficult would it be to find a replacement for a key employee?