- Author Chris Hadjiyianni
- Year Date 2017
- Location Waterloo, ON
- Category Business
Successful owners are usually optimistic people, somewhat averse to dwelling on the more unpleasant aspects of business. Contemplating one’s demise certainly qualifies as an unpleasant aspect. Consequently, advisors tend to use a lot of softer phrasings when they talk about business continuity. They ask, “What happens if the owner ‘passes on’ or ‘leaves the scene?'” They talk about the consequences of an owner’s death on the business in theoretical, third-party terms: “Should an owner die, . . .” Unfortunately, these oblique references gloss over the central fact that you, the owner, must take care of business now in case you (rather than some anonymous third party) die tomorrow.
This white paper discusses businesscontinuity planning in a way that you may not expect. Typically, when owners think of business continuity, they do so after being prompted by an insurance or legal advisor who warns that unless they take prudent measures, they will leave their families unprotected in the event of death or permanent disability
However, business continuity is not principally concerned with making sure that an owner’s family is taken care of in the event of the owner’s death or disability. As an owner, you address family concerns through proper Estate Planning. Business continuity is a means of handling a variety of transfer events and consequences that impact the business and the remaining (or new) owner when the original owner leaves.