Sole Proprietorship Insurance Potsdam NY

If you are or plan to be the sole proprietor of a business, one thing you may not have considered in your business planning is life insurance. Getting sole proprietorship insurance is not usually among the top items on a business owner's to-do list, because most people do not want to consider what will happen to their business when they die. However, there are many reasons to look into life insurance that covers your business, no matter what your age and current health situation.


1 . Local Companies

Northwestern Mutual Financial Network
(315) 268-0323
17 Maple St
Potsdam, NY
State Farm
(315) 268-9000
70 Market St Ste 3
Potsdam, NY
Allstate Insurance Companies
(315) 265-2600
6604 State Highway 56
Potsdam, NY
Kot John
(315) 265-2600
6604 State Highway 56
Potsdam, NY
Allstate Insurance Companies
(315) 265-2600
6604 State Highway 56
Potsdam, NY
Allstate Auto Insurance
(888) 355-7971
43 Bay St
Potsdam, NY
MacFadden-Dier-Leonard Insurance
(315) 265-4230
22 Depot St Ste 20
Potsdam, NY
Nationwide Insurance
(315) 265-2140
20 Elm St Ste 102
Potsdam, NY
St Lawrence Business Svcs
(315) 265-7488
65 Main St Ste 301
Potsdam, NY
Hayman William L
(315) 265-2140
20 Elm St Ste 102
Potsdam, NY

2 . Why Get Life Insurance?

Anyone who owns a business should consider getting sole proprietorship insurance, and this is even more important for business owners who have families to take care of. Having a personal life insurance policy is good, but you should also have a sole proprietorship insurance policy that specifically states what should happen with your business in the event that something should happen to you. A personal life insurance policy will provide your family with much-needed funds, but it will not cover your business or any physical property associated with your business.

Therefore, having sole proprietorship insurance will make sure that your family, and any employees you may have, will be taken care of in a potential situation that is already difficult to handle. It will be one less thing they will have to worry about, if the unforeseeable should happen.

3 . What Happens To The Business?

When a sole proprietor dies, there are a lot of things that have to be decided on concerning the business. All the assets of the business are considered in the deposition of the business accounts, including property, equipment, inventory, and accounts both payable and receivable. If the sole proprietor of the business did not have life insurance, it is generally the family that is responsible for all the debts of the business. This can often mean a scramble to sell the business and all associated assets quickly in order to cover any debts left behind. Selling the business and assets off to pay business debts is referred to as a forced liquidation, and it does not result in receiving the true worth of the business in return for the sales.

An investment in sole proprietorship insurance will ensure that there are no questions regarding what should be done with the business. Because a sole proprietorship is considered the property of the business owner, there must be provisions in place to take care of everything in the event something should happen.

4 . Insurance Benefits: Cash And Beyond

Of course, life insurance for a sole proprietor is going to pay out a cash benefit to the beneficiary of the policy. However, there are extra benefits associated with having sole proprietorship insurance that you may not consider when you think of life insurance policies.

One of the most important benefits for sole proprietorship insurance is the business continuation agreement, also known as the buy-sell agreement. This provides funds for the business to continue operating following the death of the owner. Life insurance for business can also provide funds that will enable a key employee or family member to buy the business, rather than selling or liquidating. Without the benefit of sole proprietorship insurance payouts, it may not be possible for someone who is familiar with the business to purchase it and continue running the business.
Related Articles
- Low Cost Term Life Insurance Potsdam NY
We all want to buy low cost term life insurance. It is just the wise thing to do. I was recently having a casual conversation with one of my neighbor about life insurance and was surprised to see the amount of premium he was paying for term insurance.
- Health Insurance for the Unemployed Potsdam NY