Services for Business Owners

Here at Dotch Financial and Insurance Services, Inc., we offer a wide array of services to help business owners address their financial needs at every stage of the business life cycle. Taking into account their personal values and financial goals, we create and execute customized strategies to help entrepreneurs meet their objectives. Some of our key services are detailed below.

Executive Benefits

The success of most businesses is tied into the talent, passion and work ethics of their key executives. Executive benefit packages can help you attract, motivate, and retain high-caliber employees and keep your company healthy and stable. We can help you with funding non-qualified plans, supplemental employee retirement plans, split dollar plans, and more.

Succession Planning

Succession planning allows owners to leave their business on their own timeframe while preparing their company to be transferred to family members, key employees, an outside party, or even a charity. This must be done in a way that achieves personal financial security, maintains harmony, and achieves maximum value for the business.

Key Person Insurance

Key person life insurance offers a death benefit that helps indemnifies an employer for the loss of one of its most important assets - the key person. This can help assure continuity of the business for employees, customers and creditors, and protects against losses in sales, momentum, and credit. It can also be used to assist with recruiting and developing a replacement for the employee.

Funding Buy-Sell Agreements

A buy–sell agreement is a legally binding agreement between co-owners of a business that governs the situation if a co-owner dies or leaves the business, whether by force or by choice. A funded cross-purchase buy-sell plan utilizes life insurance to help ensure that the arrangement is properly funded so that there will be money when the event is triggered.

Funding Deferred Compensation

Deferred compensation is a written agreement between an employer and an employee where the employee chooses to have part of his or her compensation withheld by the company, invested on their behalf, and distributed back to them at a pre-determined point in the future. Deferred compensation can be used as a flexible way to attract and incentivize key employees.

Business Owner SLIRP Strategy (BOSS)

Supplemental life insurance for retirement planning is an ideal strategy for business owners. This concept involves a business owner purchasing a cash accumulation, permanent life insurance policy with after-tax dollars. Over time, the policy will generate cash values that can be accessed on a tax-free basis during retirement, while providing asset diversification and reducing exposure to business risks.

Cash on the Balance Sheet (COTBS)

Successful businesses typically maintain significant cash reserves which are generally subject to low interest rates and income taxation. By repositioning some of this cash into a permanent life insurance policy, the business may experience tax deferred growth that exceeds the returns of other cash alternatives over the long term, and a tax-free death benefit that could help meet other business needs such as key person insurance and buy-sell funding.

Retirement and Legacy Arrangement (RALA)

RALA is an innovative strategy designed to address multiple wealth planning objectives, without the client needing to gift the annual premium. If properly designed, funded, and maintained, the client can retain control over the permanent life insurance policy and cash value in order to supplement retirement income and create an income and estate tax free legacy for heirs.

Executive Bonus and Key Person Arrangements

Executive Bonus (I.R.C. Section 162) is a nonqualified arrangement between an employer and select employee(s). Under an executive bonus arrangement, the employer agrees to pay a bonus each year to select employees, often in the form of premiums on personally owned life insurance policies. Executive bonus arrangements are used when a business owner wants to reward and retain key managers and employees. An executive bonus agreement clarifies the rights and obligations of the parties and formalizes the arrangement. Key Person Life Insurance is designed to protect a business from losses associated with the death of a person "key" to the business. The amount of insurance typically owned by and payable to the business covers the cost of attracting, hiring and training a replacement for the deceased; as well as lost profits. Key Person Life Insurance can be used with any form of business when the loss of an individual would cause a severe financial hardship to the business.

Employee Benefits

In business, every employee matters. No office can run smoothly without the help of administrative staff, managers, nurses, assistants, and other staff members. This team is what keeps clients satisfied, schedules complete, and priorities in order. Benefits ensure your employees are dedicated to staying with your practice. Although a need for income leads candidates to apply, it is benefits such as dental and medical insurance and Retirement Savings Plans and leave time that motivate them to stay. Our job is to help you decide which benefits are best for your company and how to plan and implement them according to your company goals.....Please forget about Cash Balance Plans and the other retirement products because those falls under retirement benefits.