Michael Randall - Insurance Advisor - Nour Insurance Services

01/11/2024

What Is a Buy and Sell Agreement? How will you and your business partner or partner(s) funded it?

A buy and sell agreement (or buy-sell agreement) is a legally binding contract that stipulates how a partner's share of a business may be reassigned if that partner dies. Most often, the buy and sell agreement stipulates that the available share be sold to the remaining partners or to the partnership. Buy-sell agreements often use life insurance policies to fund the potential buyout in the event of a partner's death.
A buy and sell agreement may also be called a buyout agreement, a business will, or a business prenup.

KEY TAKEAWAYS
Buy and sell agreements stipulate how a partner's share of a business may be transferred in the event of the partner's death or departure.
Buy and sell agreements may also establish a method for determining the value of a business.
Redemption agreements require the business entity to buy the interests of the selling owner.

Key Considerations in Buy-Sell Agreements

Buy and sell agreements are designed to help partners manage potentially difficult situations in ways that protect the business and their own personal and family interests.
For example, the agreement can restrict owners from selling their interests to outside investors without approval from the remaining owners. Similar protection can be provided in the event of a partner's death.
A typical agreement might stipulate that a deceased partner's interest be sold back to the business or remaining owners. This prevents the estate from selling the interest to an outsider.
In addition to controlling ownership of the business, buy and sell agreements spell out the means to be used in assessing the value of a partner's share. This can have uses outside the question of buying and selling shares. For example, if there is a dispute among owners about the value of the company or of a partner's interest, the valuation methods included in the buy and sell agreement would be used.

I'm here to help you put the proper plan in place to protect you, your partners, and the business succession!

Please contact me for a free no obligation quote.

01/05/2024

Why are Life Insurance Reviews Important?

As we’re all aware, only thing constant in life is Change.

• Hopefully, you have life insurance in place, but do you have enough?

• Have life circumstances changed since you first purchased your insurance?

• What’s changed and what do you need to do to update your existing financial protection?

Most Canadians have different needs at different stages of life, so a few good questions to ask yourself are:

• Do I have the right life insurance plan in place to cover my mortgage? family? business?

• Do I have adequate disability & critical illness to replace my income and cover my monthly expenses and/or ensure my retirement plans aren’t interrupted?

• Should I renew my term insurance, or should I switch to a more permanent plan because my needs have changed?

• Do I need to increase my insurance coverage to make sure all my obligations can be met?

• Do I have the right insurance to cover the tax bill for the assets I’m leaving to my children?

• Is my beneficiary designation still in line with my wishes?

06/26/2022

04/18/2022

How strong is your financial plan?
Do you even know?
If you aren’t revisiting your plan often or if you haven’t received a 2nd opinion give me a call for a no fee consultation anytime! 💰✅ 🏡 🏦

04/15/2022

Well it happened again this year!
The first round of golf for the year at Forest City National was a lot of fun and the company wasn’t too bad either. 🤣🏌️‍♂️⛳️

03/18/2022

A good financial plan is a road map that shows us exactly how the choices we make today will affect our future.

03/03/2022

Finding focus in a chaotic world!

Last week, the world changed. As we watch the troubling events unfold in Ukraine and the political and economic fallout, it’s hard not to worry.
One way to conquer feelings of worry and helplessness is to focus on what is within your control and take small, concrete steps to create positive results. The articles below include some great advice. For example:
If you are able, donate time or money to organizations you support.
Look for ways to diversify your investments if needed to help reduce risk and renew your confidence that we continue on the path to help achieve your long-term goals.
Keep on top of your personal money deadlines, like tax preparation for filing this year.
Take time to recognize signs of burnout and focus on your personal wellbeing.
I’m here to talk about any concerns you have and offer my support.

As Russia began its invasion of Ukraine early Thursday morning, an estimated 100,000 civilians were forced to flee their homes for safety. Here are 10 ways to help Ukrainian people right now.

02/21/2022

Happy Family Day!!
It’s beautiful out a great day for an outdoor run and baseball ⚾️ season just around the corner too!

12/24/2021

Merry Christmas everyone!!
🎅 🤶 🎄