Are you approaching retirement age and own a business?

Our friend, Reina Teeger, Senior Vice President- Corporate Marketing Communications AFCO CAFO prime Rate Premium Finance Companies, shared this tip with us:

Cash flow benefits of Insurance Premium Financing?

As loans go, premium financing is a relatively striaght forward process, with simple loan documentation and collateral tied to the unearned portion of the premium. Where else can you get a loan that involves a two page contract and provides funding within 24 hours of acceptance. Pricing quotes and repayment plans are shaped both by the economic environment and the financial health of the borrower and, for the most part, loans are paid back in under a year. If businesses- whether large or small-- are looking for a loan, it doesn't get much simpler than that. What's more premium finance loan doesn't deplete bank lines of credit, there can be positive tax implications, and, depending on accounting opinion, the disclosure is different on financial statements.

But, what happens when complexity arises based on the cash flow needs of the insured borrower? Through the Independent Agents and Brokers network, AFCO offers customized seasonal repayment plans that reflect the cash flows of businesses such as ski resorts, agricultural ventures or landscape architects. Whether you want to maximize cash flow or minimize debt service costs, premium financing can offer multiple plans, plans by policy, or delayed check release opportunities. Payments can be quarterly, monthly or a mix of down payment amounts and repayment schedules that best suit the unique situation of the business.

Why premium financing?

It all started when senior executives of Continental Insurance were looking for a way to help insureds who needed insurance coverage , but couldn't always afford the upfront payments. Surprisingly, there are still many businesses that haven't thought about financing their insurance premiums for working capital needs or as an alternative source of funds. While the benefit of premium financing may not be quite the transformation of straw into gold, it does unlock the intrinsic value of insurance premiums and can provide substantial and underutilized cash flow opportunities. 

Save the Date:

Thursday, November 03, 2011

Now What? Reinventing Yourself After 40

Panel Discussion

Network & Be inspired

Prairie Avenue Gallery

1900 South Prairie Avenue

5:00-8:00pm

Light Refreshments will be served

Free

Client of the Month

Too Age Gracefully

www.tooagegracefully.net

773.651.2255

...Walk with me to State Street...

"Tracy, I don't mean to bother you, but would you mind walking with me to State Street?" As the warm elderly lady reached out for Tracy's hand the young nurse responded without hesitation, "Yes ma'am, of course." As the two strolled down to State Street arm in arm, the nurse couldn't help but ask the senior where her children were. With a dramatic pause, the blind woman, while holding on that much tighter, responded, "I don't know." At that moment, Tracy Greene knew most assuredly that she would soon own a home health service company, serving as their "helping hands."

Tracy of Too Age Gracefully, started her career in health care as a certified nursing assistant while studying at the University of Nebraska Medical Center. She primarily worked in the liver transplant unit. This experience strenghtened her interest in educating others on the importance of caring for their liver. "People mostly talk about heart health, but the liver is the largest organ in the body. If it is damaged and abused, the chances of living a comfortable healthy life are slim to none."

After working as a CNA, Tracy wanted to further her medical studies, so she returned home to Chicago, enrolled in Malcolm X College and earned a degree in Science and Radiology. Being a radiologist was enjoyable to Tracy although she missed the direct contact she had with her patients as a CNA. "The stories that I heard from the patients were facinating, the history, wisdom and advice were unparalleled." Seniors are the forgotten; by Tracy not having children of her own, she understands what her fate may have in store for her- the reliance upon a caring stranger.

Love, attention, a smile or a warm embrace is what keeps us alive, not just pills. As a nurse, you become a lifeline, is what Tracy shares. In 2007, Too Age Gracefully was born, where their motto is: Your Helping Hands. Tracy's company does not want to make people feel dependent, they just want to be an aid to those who are in need of a little or a lot of assistance. Meal preperation, medication reminders, light housekeeping duties, adult sitting, bathing and hygiene are just a few of the services Too Age Gracefully provides. "We are all given a purpose when born into this world, and caring for our seniors is mine."