LPAs for business owners
If you are a sole trader, partner or director in a business, think about what if something serious happened to you and you are still alive, what would you like to happen in respect of your business in those circumstances (other than a miracle cure of course!).
Will the business continue? Do you need it to continue? How will it continue? Is it to be sold? Does it need to be sold to particular people or can it be sold on the open market? How will the value be maximised?
The next thing to do is look at your business agreement and see what, if anything it says about those circumstances, as there may already be a clause covering those circumstances. If there isn’t a clause or if you don’t like what it says, the next thing to do is talk to your partners / directors and discuss changing the agreement, if that is possible.
You can create a Lasting Power of Attorney and restrict it entirely to your business interests, as you may wish to have different people manage your personal and business interests. You will need to consider whether the LPA will work in relation to your business agreement. If you are going to appoint an attorney, who will it be? Are they capable of running your business? Do you trust them?
If something happened to you, how would you live, where is your income coming from? Is there payment in the agreement for your investment and/or labour in the business?
Separate to any business LPA you make, you should also make an LPA for your private financial matters and additionally one for health and welfare decisions, so that you can be cared for by your loved ones in any unforeseen circumstances.
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