Skip to main content

Buy-Sell Agreement Funding

Your partnership is valuable. Make sure it's protected. We help you fund buy-sell agreements so ownership transitions happen smoothly when they need to.

Send a Raven Learn More

GEARED TOWARDS:

Business partners and co-owners who want to protect their company and each other when ownership transitions occur.

What You'll Gain

Here's what's in place when the work is done.

A written answer to "what happens to the business if one of us dies tomorrow"

Insurance funding sized to the buyout, so nobody scrambles for cash or takes on debt to execute it

A surviving spouse gets paid fair value instead of inheriting a stake in a company they can't run

The valuation method agreed on now, in writing, before anyone has a reason to argue about it

Coverage reviewed as the business grows, so the funding keeps pace with what it's actually worth

How It Works

3 steps from first conversation to coverage in force.

  1. 1

    Recon

    We analyze your existing buy-sell agreement (or help you understand why you need one) to identify funding gaps.

  2. Design the Funding

    We match life insurance and/or disability coverage to your buyout needs and ownership structure.

    2
  3. 3

    Implement & Monitor

    We put the coverage in place and schedule regular reviews to ensure it stays aligned with your business value.

Start the Conversation

Send a Raven. The first consultation is free, and you leave with a clearer picture either way.

Send a Raven

Frequently Asked Questions

The questions clients actually ask before starting.

A buy-sell agreement is a legal contract that defines what happens to a business owner's share when they leave the company, whether due to death, disability, retirement, or other triggering events. It protects all parties by establishing the terms in advance.
Without funding, a buy-sell agreement is just paper. When a triggering event happens, you need actual money to execute the buyout. Life insurance provides an immediate cash infusion at exactly the moment it's needed.
The main types are cross-purchase (partners buy each other's shares) and entity-purchase (the business buys the shares). Each has different tax implications and is suited to different situations. Our buy-sell calculator can help you explore which fits your structure.
The coverage should match your business valuation. Try our buy-sell funding calculator for a quick estimate, or we'll help you determine the right amount and ensure it's reviewed regularly as your business grows.
Many buy-sell agreements are underfunded or haven't been reviewed in years. We can audit your current situation, identify gaps, and make sure your funding matches your current business value and ownership structure.
Common triggers include death, disability, retirement, voluntary departure, divorce, bankruptcy, or loss of professional license. Your agreement should clearly define which events trigger a buyout and under what terms. We'll help ensure your funding covers the most likely scenarios.
Valuation methods include fixed price (updated periodically), formula-based (like a multiple of revenue or earnings), or independent appraisal at the time of the event. Each has trade-offs for simplicity, accuracy, and cost. Your agreement should specify the method in advance to avoid disputes.
Insurance costs vary by age and health, which can create imbalances in a cross-purchase arrangement. Solutions include having the business pay premiums, using entity-purchase structures, or adjusting ownership percentages to account for premium differences. We'll help you find an equitable approach.