Solutions to help a business thrive and survive in a competitive market.
Businesses need custom solutions to help maintain their competitive advantage, retain key employees, and protect against loss or a change in ownership. Executive bonus, individual LIRP, split-dollar, and non-qualified deferred compensation solutions are some of the options that allow a company to thrive in their respective market environment. Buy-sell agreements, ESOPs, COLI, and key-person are some of the solutions that allow a company to survive when a planned or unplanned event occurs.
VUL is the preferred solution for the business market with available high early cash value options along with the tax-favored treatment of income and death benefit proceeds.
Concept Video: “Thrive” and “Survive” in the Business Market
Every office you work with as a point-of-sale person will have different types of financial advisors (FAs). For instance, some FAs focus primarily on 401(k) planning, where they are very familiar with ERISA requirements and the retirement planning space. Finding out what carrier platform they be might using and partnering with those carrier support people is a great way to position yourself as resource in an office. Other FAs may conduct business planning periodically, a service to their existing client base. Almost every advisor has a 401(k) plan or two they manage for their small business client as a courtesy.
These type of situations are great opportunities for business valuation planning, buy-sell review, as well as an insurance-based retirement plan. Nationwide and Principal both have informal valuation programs for companies of a certain size, where they will conduct the valuation with the client and deliver a report. It is a free service that you can offer FAs by partnering with them. That can help determine the amount of coverage would be needed for funding a buy-sell agreement. Both Principal and Nationwide run thousands of these valuations a year that result in quite a lot of business and planning opportunities.