Half Of All Small Businesses Would Have To Close For Good If A Key Employee Died
Half of all UK small businesses would have to permanently shut their doors if a key employee became seriously ill or died, according to a report by Legal & General. The State of the Nation’s SMEs’ report, which surveyed over 800 small firms, revealed that sole traders and younger enterprises are the most likely to suffer financially if their workers are suffering physically – with 67% and 73% saying that they would last less than a year respectively. Despite the obvious risk, a significant number of those surveyed aren’t taking the necessary precautions to ensure their dying workers don’t take them down with them. Worryingly, 48% of sole traders have no form of cover whatsoever, with 36% of businesses valued at under £250,000 and 35% of first generation family businesses also lacking s... »