Summary:
In this episode of Financial Planning for Canadian Business Owners, Jason Pereira, award-winning financial planner, university lecturer, writer, and host interviews Zak Goldman, Managing Partner of Sterling Park Financial Group in Toronto, Canada. Sterling Park is one of the more better-known high-end insurance operations in Canada. Zak and Jason discuss why business owners need to consider insurance and the key benefits of it.
Episode Highlights:
● 01:25: – Zak Goldman introduces himself and what he does.
● 07:20: – Zak talks about some of the frustrations with the insurance Industry.
● 09:44: – Sterling Park has seven people in their office which isn’t usual for an insurance firm.
● 11:23: – Insurance will be a tool to do financial planning.
● 14:26: – The vast majority of investment advisors are giving incorrect advice.
● 15:24: – Why does insurance work?
● 16:58: – Large tax bills often can’t be paid because the liquidity isn’t available.
● 19:07: – What are some of the basic use cases for insurance for business owners?
● 19:52: – The most common and easiest use of insurance is for a partnership.
● 23:33: – Why is insurance and tax planning so important for when you die?
● 27:30: – Insurance in a corporation is not to be used for an insured retirement plan.
● 32:18: – Make sure whoever is doing your financial planning are doing comparisons.
● 35:00: – Provide value to your client.
● 38:26: – Insurance policies can be tax shelters while you are alive.
● 41:08: – Corporate capital grows tax-free and at death gets paid out tax-free.
● 43:30: – At Sterling Park, you can’t take the corporate asset and get a personal loan against it.
3 Key Points
1. The average insurance advisor in Canada is $37,000-$49,000 in gross income that they have to run their business out of.
2. Insurance is a payment that happens on a periodic basis that leads to a much larger payment later on that is tax-free.
3. Zak Goldman says that Insurance is benefitting two groups: widows and orphans.
Tweetable Quotes:
● “If we can open people’s eyes to insurance and not that cheesy, salesy way, but actually a factual number-based analysis. That’s why we do it and I think that’s why we have success in doing it.” – Zak Goldman
● “This industry doesn’t hold itself up to the standards that it should. People do not have the expertise, the backgrounds, the letters behind their name.” – Zak Goldman
● “Tax and mortality. Those are two things that make insurance work.” – Zak Goldman
Resources Mentioned:
● Facebook – Jason Pereira’s
● LinkedIn – Jason Pereira’s
● FintechImpact.co – Website
● jasonpereira.ca – Website
● Linkedin – Zak Goldman’s
● Sterlingparkgrp.com – Website
● Linkedin – Sterling Park Financial Group
Hosted on Acast. See acast.com/privacy for more information.