Sun Life Malaysia offers insurance and takaful solutions to safeguard SMEs’ future
How does business legacy help SMEs prosper?
In running any business, both profit and purpose are vital for survival and growth. According to Sun Life, this is where legacy planning kicks in to help businesses sustain their financial health and to provide long-term guidelines so that the company can withstand the test of time.
A survey on Malaysian business owners conducted by Sun Life in [month, year?] found that about 79% of respondents are confident of their growth this year and even have plans to expand their businesses further.
While the immediate focus of SMEs is to sustain their bottom line and unravel new growth opportunities, the demand for adequate protection and wealth planning has never been greater.
“There is a growing conversation among Malaysian SMEs on the need to rethink wealth and risk management for long-term business resilience. It is a foreseeable fact that this pandemic’s effects will last for a while, so the protection of your business, as well as members of your business, now becomes more important. The goal is to protect the business for years to come and pass on a lasting legacy,” Lew added.
There is no precise formula for determining how much protection is adequate. But any protection is better than none. Sun Life Malaysia shares various ways that insurance and takaful protection could help businesses:
- Protect and grow the business and wealth
Wealth accumulation, distribution and preservation is a progressive journey that takes time, consistency, and persistence. Insurance and takaful plans serve as a risk management tool to ensure business operations and accumulated wealth continue to grow for future generations.
- Double up as succession planning
It is most prudent, especially amid market instability, for businesses to re-examine the keyman protection plan, which will provide financial compensation to SMEs in the event of loss of key employees so that they can return to normal operations as quickly as possible.
- Promote productivity and employee retention
Research has shown that employees may achieve higher productivity at workplaces committed to staff health and well-being. Hence, insurance and takaful benefits could double up as a talent hiring and retention strategy.
Your business is the result of many years of toil and labour, and all of that can be maintained as a legacy for your next of kin or those you trust to carry your business forward. Take the first and most important step today with effective business legacy planning.
