Running a family business has challenges that include head and heart issues which aren’t typically present in other businesses. However, the proverb about shirtsleeves to shirtsleeves – that family enterprises often fail by the third generation – does not need to be a reality for these families. Family enterprises can improve their chances of achieving intergenerational continuity by building their knowledge and skills – and by working with advisors who understand their unique needs and goals.

Continue reading “Help Family Enterprise Clients Avoid ‘Shirtsleeves to Shirtsleeves’” →

SHARE the client article from The Link Between:
Empower the Enterprising Strength of your Family

The gifting of life insurance to registered charities has always been a popular method for individuals to fulfill their philanthropic goals. For some of your clients, this may be worth considering when it comes to a charity that is near and dear to their heart.

There are two basic options:

• donate a policy while the client is alive or
• make the registered charity a beneficiary of the policy

Continue reading “How Life Insurance can Help your Client’s Favourite Charity” →

SHARE the client article from The Link Between:
How your Life Insurance can Help your Favourite Charity

Did you know that over 50% of Canadians do not have a will?*  Why? Some don’t know how to get started while others believe they can’t afford it.

Do your clients have a will in place? Is it up-to-date? Help your clients understand the importance of having a will. A will is an important part of their overall plan and without one, assets would be distributed as per provincial intestate legislation. This process takes time, can increase costs, and probably will not match their wishes for their estate. A will is needed in most cases – anyone with assets and/or wishing to give direction for the distribution of assets upon death.

Continue reading “Coordinating the Completion of Your Client’s Will” →

SHARE the client article from The Link Between:
Where there’s a will, it will be your way

Assisting your clients with planning for the transition of wealth to their children and grandchildren doesn’t have to be a daunting task. Start the conversations with your clients now so they begin to understand the impact of tax on their estate assets.

Do your clients understand the tax implications that occur upon death? There would be a deemed disposition of all their assets at fair market value which could result in tax (excludes the principle residence). There is, however, an exception for assets rolled to a spouse.

Continue reading “Increase Estate Assets Through a Beneficiary Designation” →

SHARE the client article from The Link Between:
Sharing Your Wealth with the Next Generation

In family succession plans, it can be difficult to transfer the shares of the family business to the next generation while still taking advantage of the capital gains exemption. This difficulty arises due to an anti-avoidance provision in the Income Tax Act. Life insurance can be used to accomplish the transfer on a tax efficient basis.

Bill and Joan, a married couple, are sole shareholders of XYZ Corporation. They want to retire and sell some of the company shares to their son, Bob, without financially burdening the business. It is difficult, however, for Bob to obtain the funds personally in order to complete the purchase of the shares from his parents.

Continue reading “Case Study: Using the Capital Gains Exemption in a Family Succession Plan” →

SHARE the client article from The Link Between:
Is your family business gaining from the capital gains exemption?

It is no secret that there are benefits to funding your client’s shareholders’ agreement with life insurance.

It is less well known, however, that a significant number of agreements are drafted incorrectly, being either out of date or inadequate to deal with insured buyouts. The following are 5 common errors and omissions your clients should avoid in their shareholders’ agreement.

Continue reading “5 Common Mistakes to Avoid When Drafting Shareholders’ Agreements” →

SHARE the client article from The Link Between:
5 common mistakes to avoid when drafting a shareholders’ agreement

Applets are used by Advisors in PPI’s Toolkit Direct (Advisor login required) to create professional, straightforward presentations for clients.

The Income Replacement applet (Advisor login required) can be used to answer the daunting question, “What would you do if you could no longer work due to disability or sickness?” While this may not be a question that you want to ask your clients out-right, it is something very important for them to consider. Continue reading “Applet ABCs: Income Replacement” →

SHARE the client article from The Link Between:
Insuring your Most Valuable Asset