Directors and Death: The Taboo Topic That Could Cost Your Family Dearly

Most of us don’t want to talk about death.

But if you’re a company director, avoiding the subject could leave your loved ones in legal chaos and your business in limbo.

Let me tell you a true story. One that still sticks with me today.

The Director Who Didn’t Get the Chance

He was a client of mine, a single father, running his own business. Smart, successful, and committed to his children. Then COVID hit.

He got sick. Really sick.

Within days, he was admitted to intensive care. No one expected it to escalate, but it did. His condition worsened, and he was placed into a coma.

That’s when the reality dawned: he didn’t have a will.

In a rush to put things right, I called my mum, a solicitor specialising in wills and probate. She drove out immediately to try and help. But by the time she arrived, it was too late. He was unconscious. He passed away just days later.

He’d told friends what he wanted. He wanted his children to be cared for by his closest friend the person he trusted, not just biologically connected. But nothing had been written down. No will. No guardianship clause. No financial provisions. Just assumptions and conversations.

And as any solicitor will tell you: in the absence of a will, the law doesn’t follow intentions. It follows a strict formula.

When There’s No Will, There’s No Control

That client’s story isn’t unique.

Over the years, I’ve seen all kinds of messes caused by the absence of a proper will:

• Ex-wives named in out-of-date statements of wishes.
  
• Business partners assume they’ll inherit shares, only to find themselves fighting it out in court.
  
• Companies without access to their bank accounts because the sole director passed away with no formal arrangements.
  

Death is tragic enough. But when there’s no legal plan in place, grief is compounded by stress, legal delays, and family conflict.

Why Wills Matter More for Directors

If you’re the sole director and shareholder of your company, your will is the only document that says what should happen to your business interests when you die.

Without it:

• Shares can become stuck in probate, leaving your staff and clients in limbo.
  
  
• Family members may have no legal access to funds, even for basic living expenses.
  
  
• Guardianship of children may be decided by the courts, not by the people you would have chosen.
  
  
• Without a valid will and proper planning, valuable tax reliefs, like Business Property Relief, can be lost or delayed, leaving loved ones facing unnecessary tax bills and legal complications.

A will doesn’t just distribute assets. It gives clarity, control, and peace of mind to the people you care about most.

The Business Isn’t Separate from the Person

It’s tempting to think of your business and personal life as two separate things. But for many directors, they’re deeply entwined.

Who inherits your shares?
Who continues running the company?
Who can access the bank accounts?
Will your children be financially supported?

If you don’t put it in writing, someone else will decide for you.

This Is Just the Start of the Conversation

Death isn’t the only threat to your control.

What if you’re alive, but unable to act?
An accident. A stroke. A degenerative illness. I’ve seen business owners fall into the Court of Protection system because they lost capacity and had no Lasting Power of Attorney (LPA) in place.

In the coming weeks, I’ll be writing more on how directors can protect themselves and their businesses with LPAs, shareholder protection insurance, and life cover.

But it starts here.
With a simple document, “Your Will”, that far too many people put off until it’s too late.

Final Thought: A Will Is a Gift, Not Just a Legal Form

That client of mine thought he had more time.
Most of us do.

But planning for your death isn’t morbid, it’s responsible. Especially, when others depend on you.

If you’ve built something, protect it.
If you’ve got children, look after them — even when you’re not around. And if you’ve told someone what you want to happen, write it down properly.

Because one day, what you leave behind won’t be your business.
It’ll be the decisions you did, or didn’t make.