Because the average life settlement payout is 16% of the face value⁷, selling your obsolete qualified business life contracts in the secondary life insurance market can provide a much higher return on your investment. See How much will I be offered for my policy?.
Upon deciding to sell your company, the following business life policies may become unnecessary and a life settlement can be an effective asset optimization technique for converting these illiquid capital assets into significant immediate cash, which can then expedite your company’s sale for the desired price and on favorable terms. 1. Key-person policies protect a firm from financial loss due to the death of key executives. The need for these policies may end when a company is put up for sale, and, unfortunately, retiring business owners typically do not recognize the enormous hidden value that may exist within these business assets. Instead, these policies are usually lapsed, cash surrendered or summarily transferred in a company asset or stock sale to whomever purchases the company. If a seller is unaware of the life settlement disposition option, a savvy buyer may be able to acquire these valuable assets, and then sell them for their true market value. 2. Split-dollar policies are
Related Questions
- Because the average life settlement payout is 16% of the face value⁷, selling your obsolete qualified business life contracts in the secondary life insurance market can provide a much higher return on your investment. See How much will I be offered for my policy?.
- Because the average life settlement payout is 20% of the face value⁷, selling your obsolete qualified business life contracts in the secondary life insurance market can provide a much higher return on your investment. See How much will I be offered for my policy?.
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