Right amount of buy-sell insurance

Determine the right amount of buy-sell insurance to cover your agreement. A buy-sell agreement with term life insurance amount is based on many factors, including everything from good will and client base to economic outlook and operating history.

Determining the right amount of buy-sell insurance starts with writing a buy-sell agreement that determines the value of your business, whether or not the buy-sell agreement is funded with term life insurance. This buy-sell agreement with term life insurance may not be accepted by the IRS when a taxable event occurs such as death of an owner or sale of a business unless the buy-sell agreement accurately reflects fair market value. To find the right market value for term insurance for buy-sell agreements, just email me or call at 1.800.799.0903, and I will help you determine the right amount of buy-sell insurance and then find the best term life insurance quotes.

In calculating value in buy-sell agreements, gross sales, good will and client base are taken into account. Other factors when determining term insurance levels for your buy-sell agreement include the nature of your business, operating history, economic outlook for your business sector, book value and financial condition of your business, earnings history, market price of publicly traded similar businesses and comparable sales of other similar businesses. With these calculations, you'll have the right level of term insurance for your buy-sell agreement with term life insurance to protect your business.

Jim O'Connor, Life Insurance Agent
PO Box 832, Tiburon CA 94920
Tel: 1-800-799-0903 Fax: 415-435-2870 Email: info@term22.com
Copyright 2011 Jim O'Connor, Life Insurance Agent

Index+-