Why Buy-and-Sell Insurance is important.
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The potential challenges created for the deceased owner’s estate
The potential challenges created for the remaining owners
According to the agreement, each co-owner takes out life cover on the other co-owners’ lives. The life cover pays out on the death of a co-owner, which funds the purchase of his/her interest by the surviving co-owner(s).
Disability cover can also be included to fund the buyout of a disabled owner’s share of the business.
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