Writing a will has always been perceived as a task to tackle in old age. Planning on what will happen after your death is hardly the most cheerful of subjects but as an entrepreneur running your own business, it is critical that you do have a will in place.

When it comes to writing a will you should look closely into succession planning for your business. According to a recent study, many business owners believe that their business would have to cease trading in the event of the death of one of the key individuals in the business. This could affect the livelihood of a number of people employed by the business and have significant consequences to the business legacy that you have spent years growing, an unnecessary risk that can be addressed with some calculated planning.

A business succession plan will help ensure that your family business, however big or small, will continue to operate successfully in your absence. It is the blueprint that guides the entrepreneur and family in successfully dealing with each important facet of perpetuating the family business.

Having a well thought-out will is the first step to ensuring that your loved ones and the legacy of your business are protected.

When writing your will consider the following:

• Are there adequate cash reserves to meet expenses after your death and will your beneficiaries have access to these reserves?
• Is there sufficient funding available for your beneficiaries should the estate not be wound up timeously?
• Is your business succession plan adequate and is there enough working capital to continue after your death?

Think of succession planning as a good problem to have - it means your business has a bright future that will outlive your desire, or ability, to run it. Start early and begin the process by identifying and developing the required skills for the next generation to become familiar and engage with the business. If you are unsure on how to proceed, seek help from expert advisors.

Aneesa Khan | Finance Manager