For business owners, whether they are partners, sole traders or company directors*, incapacity (even if only temporary) can have a major impact on the business’ finances – suppliers might not be paid, stock not purchased, or invoices chased.
Who would be authorised to control the business account?
You might think you could rely on your family or employees to deal with the running of the business but they may not have the authority to do this.
Create and Register A Business Lasting Power of Attorney (LPA)
Without an LPA, you may have to rely on the Court of Protection to appoint your deputy. This process takes some time and your choice of deputy may not be appointed. The cost is far higher than the cost of putting an LPA in place.
Care must be taken when drafting an LPA to appoint different attorneys to deal with specific tasks; business, personal affairs or health, all matters we have extensive experience in dealing with.
LPAs should be regarded as an insurance policy vital to the ongoing success of your business.
And don’t forget LPAs for your personal affairs!
*Company directors should review the company’s documents as the steps to be taken in the event of their incapacity are usually governed by the company’s articles of association, so an LPA alone may not be sufficient.
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