Scenario:

Laura, 50, was the owner of a cybersecurity consulting firm with 37 employees. She was the firm’s primary rainmaker, responsible for securing 90% of the company’s major contracts.

One evening, Laura suffered a serious stroke, rendering her unable to work for an extended period. Without her, the firm’s operations immediately stalled—clients began questioning project timelines, and her team struggled to maintain business relationships.

Because Laura had always been deeply involved in client negotiations, no one else had the authority to finalize deals. Within weeks, cash flow became a serious concern, and one of their biggest clients threatened to take their contract elsewhere.

The Risk:

Without Crisis Protection measures in place, Laura’s firm could have collapsed in months. A major client loss could have triggered layoffs, causing a ripple effect that might have damaged the firm’s reputation and long-term stability.

If Laura had been permanently unable to return, her firm could have been forced into a quick-sale situation, with potential buyers offering only a fraction of the company’s true value due to its unstable leadership.

How Rock Solid Financial’s Strategic Planning Could Help:

If Laura had implemented a Crisis Protection Strategy using Business Overhead Expense Insurance and Key-Person Insurance, her firm could have remained financially stable during her recovery.

• Business Overhead Expense Insurance could have covered operating expenses, ensuring that payroll, rent, and other fixed costs were still paid—even in her absence.

• Key-Person Insurance could have provided liquidity, giving the firm the funds needed to bring in a temporary executive or consultant to maintain client relationships and oversee operations.

• If Laura had been unable to return permanently, the payout from a Key-Person policy could have given the company a financial cushion, preventing a distressed sale and allowing time for a structured transition plan.

Instead of facing immediate financial hardship, Laura’s firm could have remained fully operational, retaining its employees and client base while ensuring the company’s value remained intact for a future sale or transition.

If this sounds like you or it’s a scenario you’d like help avoiding, we can help. Book a consultation today.