Protecting Your Business From The Unexpected
- AuthorNicola Dalzell
Disruption to travel hit the headlines several times in 2015 and in light of this I would recommend that business owners, especially those who run SMEs, ensure they are prepared for travel disruptions with a Lasting Power of Attorney (LPA). This will enable continued operation of their business if their plans are unexpectedly cut short this year. Read an earlier post ‘Why Do I Need A Lasting Power Of Attorney? to get an insight into what an LPA is and does.
Most people prepare a Lasting Power of Attorney to give another responsibility for their health and wellbeing or financial matters if they are no longer able. However, anyone who runs a business needs to consider and protect that too and in most cases a separate LPA to address the needs of the business is advisable.
It is important to realise that an LPA not only comes into play in the event of physical or mental illness. It could be vital if, for example, travel arrangements are disrupted and a person cannot return to their business when planned. An LPA gives authority to another to sign cheques or pay the wages, or whatever is required. It is an essential way of ensuring continuation of a business, temporarily or in the longer term.
Small business owners should work with a lawyer who specialises in this area to prepare an appropriate LPA. Without an LPA, if the owner of a business was unable to run the business for a length of time, a court application to give another the authority to act on their behalf could take over six months, which could be detrimental to any small to medium business.
A business owner needs to be confident there’s someone they know and trust who can step in and act on their behalf even if only in the short term. Often in business, the ‘boss’ has a close bond with his or her staff and yet without an LPA in place to protect the business it is those staff who could potentially suffer the most.
Speak with me so that we can make arrangements for your business.
your business matters