When a Business Owner Dies, Sells, or Delegates Authority

Collections Compliance Frontline & New Accounts Lending Operations Deposit Account Compliance

On-Demand Webinar

StreamedMay 9, 2024Duration90 minutes

Unlimited & shareable access starting two business days after live stream
Available on desktop, mobile & tablet devices 24/7
Take-away toolkit
Ability to download webinar video
Presenter's contact info for questions

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Headline: Business Owner Dies.

Now what? The business entity continues in perpetuity even though the owner has passed. But how do you know who is authorized to act on behalf of the business for deposit accounts and loans? Similarly, what if the owner sells and wants to transfer ownership interest? Learn how to handle these situations compliantly, collect the proper documentation, and avoid loss.

AFTER THIS WEBINAR YOU’LL BE ABLE TO:

Understand what steps are legally permissible to take upon a business owner’s death or sale of ownership interest
Determine who can act for the business and who can be held liable for repayment of a loan and/or guaranty after the owner dies or sells ownership interest
Explain the situations when the business owner can delegate authority to others on the business entity’s account
Use the proper documents to change the authorized signers on the business entity’s deposit account when the owner dies, sells, or delegates authority

WEBINAR DETAILS

What happens to loans or deposit accounts when a business owner dies or sells their ownership interest? Except for a sole proprietorship, individual business owners are separate and distinct from the legal business entity (i.e., corporation, limited liability company, partnership, trust, etc.). When the individual owner dies, the legal entity continues to exist. Likewise, if the individual sells their ownership interest, the legal entity continues to exist, although ownership has changed. In both situations, your institution must determine who is authorized to act on behalf of the business entity regarding its loans and deposit accounts.

This webinar will explain the proper procedures for when the business owner dies or sells their ownership interest, including the documents that must be reviewed and the actions your institution must take. It will also explain how to determine who is authorized to act on behalf of the business entity after the owner dies, sells, or delegates authority.

WHO SHOULD ATTEND?

This informative session will benefit both loan and deposit personnel, all loan and deposit officers, collections staff, service representatives, compliance personnel, auditors, attorneys, and managers.

TAKE-AWAY TOOLKIT

Sample procedures for handling loans and deposit accounts after a business owner dies or sells ownership interest
Employee training log
Interactive quiz
PDF of slides and speaker’s contact info for follow-up questions
Attendance certificate provided to self-report CE credits

NOTE: All materials are subject to copyright. Transmission, retransmission, or republishing of any webinar to other institutions or those not employed by your institution is prohibited. Print materials may be copied for eligible participants only.