Risk is the possibility that something bad or unpleasant will happen. Capitaux prides itself on its comprehensive six step financial planning process.
In terms of financial planning, risk is the fundamental element that affects financial behaviour. It is often considered in terms of uncertainty around an unfavourable outcome. Managing these risks, particularly financial risks, is important. Legislation requires that the financial planner advises the client appropriately. Invariably a long-term contract of insurance may be used to provide funds to the client should an insured event be experienced.
Sufficient cash injections by way of life insurance, disability protection and critical illness benefits will ensure that cash resources are available to timeously settle liabilities, taxes, expenses and other costs without the need to sell assets.
The business insures the life of the member who has signed surety or provided personal security for the loan affected by the business. The business pays the premiums and an agreement is entered into between the business and the member in terms of which the business undertakes to apply the proceeds of the policy to the replacement of the loans giving rise to the personal guarantees given by the member.
Effective and well trained employees, especially those with specialist skills or knowledge are vital to a business’s success. If such an employee were to die or become disabled tomorrow, what would be the cost to that business?
Business owners have the need to ensure that there will be continuation of the business upon the death or disability of a co-owner. They further want security in knowing that the disposal of their business interests will be dealt with in an orderly manner.
Estate Liquidity – When a person passes away, there are expenses that have to be settled by the estate, like funeral costs, executor fees, master’s fees, liabilities and taxes. This need has to be calculated by a financial planner.
Estate planning is the process of anticipating and arranging for the disposal of an estate during your life. Estate planning typically attempts to eliminate uncertainties over the administration of a probate and maximize the value of the estate by reducing taxes and other expenses. Guardians are often designated for minor children and beneficiaries in incapacity.
It is imperative that every individual has a last will and testament. As part of our comprehensive service to clients, we assist with the structure and also the review of existing last will and testaments.
We manage the administration of deceased estates through Capitaux Estates.