MUTUAL TRUST FINANCIAL GROUP

Expand your sales in the Market

Business Planning Concepts PRODUCER GUIDE For Producer Use Only LIMRA Why consider the business market? estimates that 75% of the 1.2 It’s surprisingly underserved and can help million increase your revenue. small to Th e challenges that small business owners face create an excellent opportunity for midsize professionals, and Mutual Trust Financial Group® has the ideal products and resources to serve the business marketplace with confi dence. have no For business owners, an uncertain economy can make sales sluggish, qualifying for diffi cult and saving money for unexpected needs a struggle. An improving succession economy can make holding on to key employees hard, and then there is the ever present need for a business continuation plan. What would happen to any business if plan in the owner or business partners were to die or become disabled? place. Just as you help clients prepare for uncertainty in their personal lives, do you, or have you ever considered helping business owners prepare for uncertainties that aff ect their business? Using to fund business continuation programs and provide That’s a executive benefi ts to business owners and key employees is a growing market and one huge market worth considering. Here are some reasons why serving the small and midsize business market can help increase your revenue. that needs Th e business market is large and surprisingly underserved. According to your help LIMRA’s June 2012 study, Executive Benefi ts Arena, there are 1.2 million businesses today. with between 10 and 999 employees. Approximately 648,000 of these small or midsize fi rms currently don’t off er executive benefi ts and 324,000 have never even been approached about them.

Th ere are numerous opportunities for cross sell. Th e LIMRA study shows that once fi rms provide executive benefi ts, they typically off er more than one type, with three being the average. So there is a signifi cant opportunity to cross sell anything from business continuation plans, to employee recognition and retention programs. Plus, once you have sold business benefi ts to an owner, it may be possible to sell the owner and the employees of the personal life insurance, too.

Now is a great time to get into this marketplace. Getting into the business planning market now will enable you to identify potential clients and start educating owners on the importance of business planning while the economy improves. In addition, as more and more baby boomers prepare to retire, establishing a succession plan is essential. LIMRA estimates that 75% of the 1.2 million small to midsize businesses have no succession plan in place. Th at’s a huge market that needs your help today. MTL has created a fi ve-step process to help you serve this important marketplace.

A2 MTL Means Business Producer Guide Five steps to success in serving the business market:

Table of Contents

1. Prospecting: How to Find Business Clients ...... p. 4–5 2. Understanding Goals: The Business Planning Concepts Fact Finder ...... p. 6–7 3. Exploring Solutions: Using for Business Planning ...... p. 8 • Business Continuation Plans Chart ...... p. 9 • Employee Recruitment and Retention Plans Chart ...... p. 10 • Why Whole Life Insurance? Why Mutual Trust? ...... p. 11 4. Developing a Plan: Creating presentations and proposals ...... p. 12–13 5. Closing the Sale: Forms and Guidelines ...... p. 14–15

Business Planning Concepts 3 How do you find prospective clients?

You probably know more small business owners than you think.

Believe it or not, through your spheres of infl uence, you probably know or are con- nected to more small business owners than you think. Here are some additional tips on fi nding business clients.

Identify a network of friends, family contacts and acquaintances that have the potential to become clients or can put you in touch with potential clients. All things being equal, most people prefer to do business with someone they know and Most people like. If you have been selling personal life insurance for a while, start with your cur- rent client list. Some of these people may be small business owners. Th en make a prefer to list of all the people from whom you buy products or services. All of the owners of do business these businesses are potential clients because you have already established a relation- ship with them. Th is includes your dry cleaners, dentist, attorney, local restaurants, with some- barber or beauty shop, your children’s daycare center, and the service that cleans your home or offi ce. And don’t forget the printer that prints your brochures or business one they cards, your neighbor who owns a heating and air-conditioning company, your lawn know and care provider, and even your plumber, or the contractor who remodeled your kitchen. like. But don’t stop here. Like any networking opportunity, you need to expand your reach to include acquaintances that have potential relationships with business owners. For instance, the realtor you met at last night’s Rotary Club meeting might know the owner of a graphic arts company who needs your services. Or the father of one of your son’s friends might be an executive for a steel processing company. Perhaps he can arrange for you to meet his boss, the owner of the company.

Go where business owners go. Th is includes Chamber of Commerce meetings, trade shows, or community events. Th ey might belong to your local country club, work out at the nearby health club or advertise in your church bulletin. You will of- ten fi nd business owners featured in the business section of your city newspapers or business journals, and they sometimes are guest speakers at high schools or colleges

4 MTL Means Business in the area. Because they’re always looking for business too, they usually strive to be Available in theh well known and well respected in their communities. You need to do this too. Mutual Trust Store on the Agent Web Site:

Develop strategic partnerships with other professionals, especially CPAs or • Postcards that you can per- attorneys. Th ese professionals may be able to help you identify potential clients sonalize to print and mail. (and in some cases may refer their business clients to you) and can also help you • Nine business work with business owners to customize business plans to fi t specifi c needs. planning

Take a closer look at Covenant II and discover why MTL is The Whole Life Company.”® concepts you Key Person Life Insurance Covenant II is MTL Insurance Company’s leading participating whole life . Its design and À exibility offer key advantages for individu- al as well as business use, suchTake as Key a closer Person Life look Insurance. at Covenant II and discover

Key Person Life Insurance whyplans protectMTL theis Thebusiness Whole from theLife loss Company.” of a key employee by providing additional operating funds to help the company can personalizee continue as usual while the revenue and skills that are lost are replaced. Entity or Stock Redemption Buy-Sell Agreements The premiums are not a expense to the company, but the death Covenant II is MTL Insurance Company’s leading participating® whole proceeds may be tax freelife to insurancethe employer policy. as long Its design as certain and requirements of Purchase email, telemarketing or mail lists, or advertise in the media. notice and consent are met.*individual as well as business use, such as Entity or Stock Redemption As with Buy-Sell Agreements. A key employee is generally highly paid, responsible for management À exibility offer key advantages for decisions, has a signi¿An cant Entity impact or Stock on sales Redemption and has aBuy-Sell special agreementrapport with is a plan in which the and then email See reverse side for illustrations. customers and creditors. A key employee may or may not be an owner. business agrees to purchase a deceased owner’sSection interest. 162 Executive While there Bonus—Double are no Bonus ¿ xed rules for why one Buy-Sell agreementCovenant is better II is than another, there are Additional Ways Key Person Life Insurance Can Bene¿ t asome Business: situations where an Entity or Stockinsurance Redemption policy. AgreementIts design and may be preferable to a Cross-Purchase Agreement.as well as business use, such as a Section 162 Executive Bonus plan. This MTL Insurance Company’s leading participating whole life • If the insured doesn’t die while employed, the business can access the policy’s cash value for other purposes.plan gives employers a tax-favored way to reward key employees with the bene • The policy canWhen demonstrate to Use ¿ annancial Entity stability or Stock to creditors, Redemption or be used Agreement as collateral for a . both the¿ ts employer of life insurance and the employee.*protection and can provide numerous advantages to all sales eff orts, you can also purchase lists of business owners and send emails, or print: Take a closer look at Covenant II • For key employees• There who are aare large owners, number the ofpolicy owners. could help fund a buyout of the deceased person’sAdvantages business to interest. Employer of setting up an Executive Bonus plan: À exibility offer key advantages for individua • If the policy• isn’tThere needed is a wide to protect disparity the in business, theand ages discover itof can the be owners.why used MTL to provide is deferred compensation• Easy fundsto establish or retirement and administer. younger owners will not beThe forced Whole to pay Life the Company.” higher premiums on older owners. income for the key employee. An entity or stock redemption plan means there• Selective is one – pick policy and for change each participant owner. • The business wants the cash values of the policies to be available as reserve funds.• Tax deductible (under Section 162, as long as compensation is reasonable). See reverse side for illustrations. Questions toues, Ask the todeath Determine bene if You Need Key Person Life Insurance: • Retain a loans An entity or stock redemption• No maximum plan oris minimumpaid by the requirements. company so the or withdrawals will reduce the death bene • If this employee were to die, would¿ t could the be business reduced stilland anbe owner’sable to obtain untimely ¿ nancial death couldbacking? create nd attract employees. intended.) • No IRS approval needed. ® postcards or letters to prospective clients, or call them. You might also advertise in • WouldThe sales agreement and key establishescontactsAdvantages be the lost? price of Using to be Wholepaid for Life the deceasedin a Section owner’s 162 ExecutivebusinessAdvan interest Bonus by Plan (1) a de – Cross in the agreement, or (2) a formula by which a de t • How long would it takeUsing to ¿ a nd whole a replacement life insurance and policy have enables that¿ t payable, replacementa business possibly owner be toeffective? defeating offer• Tax-deferred a theages purpose cash to Employees value for growth. which of being the coveredagreement under was plan: s. the more prudentneeds choice of employees.in recent years. (If the business uses these cash val- • Additional life insurance protection. • Where would you ¿ nd the capital to ¿ nance the cost of the replacement? ¿ nancial distr The plan can be set up as a: • Liquidity. • If you are both the business owner and the key person, would your family be able to run the business? ess, because unrecovered The diagram on the reverse side shows how the agreement works.¿ nite price can be established.• Supplement Current retirement tax law hasincome. made the second method • “Single Bonus,” where employer pays a bonus each year. • Could your family sell the business for its full value if you are not part• Incomeof the deal?tax free death bene • “Double Bonus,” where the company bonuses the premium as well as an estimate of the income taxes due by the employee. Purchase If you don’t know• the answer to these questions, you should work with your advisors and decide if a Key ¿Person nite Life Insur- “Restrictive Bonus,” where the employer has some degree of control over the employee’s access to the policy during ance plan is the answer for your business. ¿ xed amount stated employment. online or print media. Mutual Trust off ers downloadable postcards and a variety • The tax liability can be reduced when are paid as cash.** * MTL Insurance Company and its representatives do not give tax or legal advice. You must consult with a tax or legal expert ¿o tf paidyour tochoice. bene * MTL Insurance Company and its representatives do not give tax or legal advi ** Dividends are not guaranteed. Buy-Sell À exible plan that can be designed¿ ciary. to meet the speci of other promotional materials you can personalize with your contact information Agreement ¿ c and print or send out electronically—such materials also include our nine business ce. You must consult with a tax or legal expert

– Equity or of your choice. planning concepts. Th ese concepts describe the benefi ts of business planning to Stock Redemptionmption Buy- your clients. Sell Agreementent – Wait-and-See Buy-Sell Agreement Share our specially designed consumer brochures with your prospective clients. – Key Person Life Protect Your Business (Form No. 335) features case studies highlighting how Trust’s Business Planning Concepts can help owners manage the risk of lost income – Section 162 Executive that threatens their business daily. Th e brochure also includes a back pocket where Bonus—Single Bonus you can insert the two trifold pamphlets (Form Nos. 322 and 329), as well as – Section 162 Executive selected personalized business planning concepts, creating a comprehensive packet Bonus—Double Bonus to present to prospective clients. – Voluntary Deferral Plan – Matching Deferral Plan – Supplemental Executive Retirement Plan (SERP)

• Consumer brochures – Protect Your Business (Form No. 335) – Business Continuation Planning and Whole Life Insurance (Form No. 322) – Non-qualified Deferred Compensation Plans and Whole Life Insurance (Form No. 329)

BusinessBuusis nen ssss PPlanninglal nnn inng CConcepts 5 What is the best way to learn about goals and needs of the business?

Tips for Using the Business Planning Concepts Fact Finder

Congratulations! You’ve identifi ed a potential business client and have set up an initial interview with the owners. Now you need to start gathering information so you can iden- tify and prioritize the owners’ needs and objectives and help provide solutions. Th e Busi- ness Planning Concepts Fact Finder makes it easy for you to systematically obtain and document the information you’ll need to make a diff erence in your clients’ businesses.

Th e Fact Finder is conveniently divided into six sections: Personal Information, General We help you Business Information, Background & Goals, Succession Planning, Key Employee, and Ex- ecutive Benefi ts Planning. We suggest you start to fi ll it out during your initial meeting identify and with your prospective client, and continue to add to it and refer to it throughout the understand sales process. Remember, the Fact Finder is for producer use only, so you don’t need to submit it as part of the application. Th erefore, feel free to record any extra informa- your client’s tion on the company and the owners that you think might be helpful.

business Fact Finder Overview needs and Personal and General Business Information—Pages 1 through 3 goals. No matter what initial goals a prospective client has expressed to you, it is best to fi ll out pages 1 through 6 of the Fact Finder before proposing any solutions. Th ese pages cover the owners’ personal information, business goals, and background information on the business.

Why are pages 1 through 3 of the Fact Finder important? Obtaining personal infor- mation on the business owner(s), including names and ages of spouse and children, is not only helpful when selling business insurance, but it can be useful for cross selling personal insurance. Obtaining general information on the business will help you understand how it’s structured, who owns it, what percentage they own, and current fi nancial, tax and legal advisors involved with the company. Th is informa- tion is essential when selecting the most appropriate business planning concepts for the .

6 MTL Means Business Background & Goals—Pages 4 through 6 Available on the After gathering information on the owners and business, you’ll need to identify the Agent Web Site owners’ goals and objectives. Pages 4 through 6 of the Fact Finder include a variety of under “Marketing questions you should ask the owners to help you better understand their goals. Th ese Support/Business questions include, “Where do you expect the business to be in 5? 10 years? How do Planning Concepts”: you feel about the benefi ts you off er your employees? What is your exit plan from • Business Planning the business?” Finding out the answers to these questions will assist you in determin- Concepts Fact Finder (Form No. 336) ing which business planning concepts to propose fi rst, such as succession planning, and which ones you may want to suggest later, such as executive benefi ts planning.

In addition, questions like “How are you diff erent from your competition” or “What are your current challenges with the business?” can help stimulate conversation with the owners and give you insight into the challenges they face.

Succession planning—Pages 7 through 8 While all producers working with business owners should fi ll out pages 1 through 6, pages 7 through 10 should be fi lled out where appropriate. For example, if the busi- ness owner doesn’t have a succession plan currently in place, you may want to establish this as a primary goal. Th erefore, during the initial meeting you may want to concen- trate on answering the questions on pages 7 and 8 of the Fact Finder and address key employee (page 9) and executive benefi ts planning (page 10) at another time.

Key Employee—Page 9 Th e questions on Page 9 are designed to determine if the companyompany has or perhaps should be considering key employee life insurance.urance.

Executive Benefi ts Planning—Page 10 Th e questions on page 10 will help you determine if the companympany has or is considering executive benefi t plans. Th ey also are designedsigned to help you gauge the owners’ need or interest in these plans.ns.

Why Use the Fact Finder? Using the Business Planning Concepts Fact Finder during tthehe initial meeting will:

• Help keep your meeting focused on important issues. • Enable you to gather information necessary to make insightful recommendations. • Provide a systematic approach for solving business owner needs. • Establish a written document of your initial meeting and provide information for follow-up. • Help you determine which goals are most important to the owners and which ones should be addressed at a later date.

Business Planning Concepts 7 What solutions does Mutual Trust offer business owners?

Mutual Trust supports a variety of Business Continuation Planning and Employee Recruitment and Retention programs, all of which can be funded with Covenant II, so the learning curve is easy.

Business Continuation Plans Business Continuation Plans help assure that a “business continues as usual,” even To view and after the unexpected death or disability of a partner or a key employee. Mutual Trust supports a variety of Business Continuation Plans, including buy-sell, key compare person, and Section 162 executive bonus plans.

the various Employee Recruitment and Retention Plans types of To help business ownersners recruit and retain hihighgh level executives, Mutual TTrustrust supports severaseverall non- business qualifi ed deferred compensationmpensation (NQDC) pplans.lans. plans A NQDC plan is a ccompensationompensation arranarrangementgement established by an employermployer to pproviderovide retirement Mutual Trust income and/or deathh anandd ddisabilityisability bbenefienefi ts to a select employee or grouproup of highlyhighly compen- offers, see sated employees. Non-qualifin-qualifi eded plansplans the charts are not required to mmeeteet the stringent rules of qualifialifi ed on pages 9 plans and can be usedd in aad-d- and 10. dition to qualifi ed plans.lans.

8 MTL Means Business MTL Business Planning Concepts: Business Continuation Plans

Solution How it Works When to Use It Benefit to Business Why Whole Life Insurance Cross Purchase • Each owner buys a policy on • Small number • Agreement establishes price or for- • Produces cash for the purchase life of every other owner of owners or mula for deceased owner’s business exactly when needed • Agreement stipulates deceased shareholders interest • Low in cost owner’s estate must sell the • Protects surviving business owner from • Results in favorable income-tax business interest to surviving interference by outsiders when co- treatment of cash value buildup owners and surviving owners owner dies and assures fair treatment in the policy and receipt of will buy interest of heirs in event of untimely death death benefits Entity or Stock • Business agrees to purchase • Large number • Agreement establishes price or for- • Produces cash for the purchase Redemption deceased owner’s interest of owners or mula for deceased owner’s business exactly when needed • Each business owner is party to shareholders interest • Low in cost properly drafted buy-sell agree- • Wide disparity in • When owner dies, policy proceeds • Results in favorable income-tax ment with the business ages of owners are paid to the business. Business treatment of cash value buildup • Business wants uses proceeds to purchase deceased in the policy and receipt of cash values of owner’s business interest death benefits policies to be • Business can use cash values of • Internal buildup of cash values available as policies as reserve funds provides a source of cash reserve funds • Provides same guarantees as cross that may assist in funding a purchase and stock redemption disability or retirement buy-sell • Offers flexibility for changes in agreement economy, tax laws, and owner’s circumstances Wait-and-See • Hybrid agreement that allows • When buy-sell • Provides same guarantees as cross • Produces cash for the purchase owners and shareholders to agreement will purchase and stock redemption exactly when needed postpone choice between stock probably not be • Offers flexibility for changes in • Low in cost redemption and cross purchase operative until economy, tax laws, and owner’s until triggering event occurs far in the future circumstances • Corporation has the first op- tion to buy decedent’s stock/ surviving owners have the next option/corporation is required to buy any unpurchased shares Key Person • Protects business from loss of • When key • Provides additional operating funds • Death proceeds may be tax key employee by providing ad- employee’s while revenue and skills that are lost free to employer as long as ditional operating funds (owner’s) death are replaced certain requirements of notice would result • If insured doesn’t die while em- and consent are met in significant ployed, business can access policy’s • No accumulated-earnings financial loss for cash value for other purposes tax problems for reasonable business • Policy can demonstrate financial coverage stability to creditors or be used as collateral for a loan • For key employees who are owners, the policy can help fund a buyout of the deceased person’s business interest • If policy isn’t needed to protect the business, it can be used to provide deferred compensation funds or retirement income for key employee

Section 162 • Gives business owners a • Employer wants • Easy to establish and administer • Can be set up as single bonus Executive Bonus tax-favored way to reward key to retain and at- • Employer can pick and change (employer pays bonus each employees with the benefits of tract employees participants year), double bonus (employer life insurance • Tax deductible under Section 162, as bonuses the premium and long as compensation is reasonable estimate of income taxes due • No maximum or minimum require- by employee), or restrictive ments bonus (employer has some • No IRS approval needed control over employee’s access to policy during employment)

Business Planning Concepts 9B MTL Business Planning Concepts: Employee Recruitment and Retention Plans

Solution How it Works When to Use It Benefit to Business Why Whole Life Insurance Voluntary Deferral • Non-qualified deferred com- • Employer wants • Plan is non-qualified so it doesn’t • Cost-effective method to help pensation agreement between to create attrac- have to be pre-approved by IRS and employers pay promised ben- an employer and participating tive retirement employers can discriminate in favor of efits with little or no drain on employee whereby employer package for selected employees the company’s future earnings defers part of the employee’s productive • Can be used in addition to qualified • Cash value accumulation in the salary or bonus so it can be and profitable plans or as a stand-alone plan to policy accumulates income-tax- received in future tax years employees help retain high level executives deferred. This cash value can be used to pay benefits in the future • Guaranteed death benefit can be used to meet death benefit obligation in the event the par- ticipant dies

Matching Deferral • Employer sponsored non-quali- • Employer wants • Plan is non-qualified so it doesn’t • Cost-effective method to help fied retirement plan similar to a to create attrac- have to be pre-approved by IRS and employers pay promised ben- 401(k) tive retirement employers can discriminate in favor efits with little or no drain on • Through a written agreement package for of selected employees the company’s future earnings with employer, highly compen- productive • Can be used in addition to qualified • Cash value accumulation in the sated employee can elect to and profitable plans policy accumulates income-tax- defer a portion of income or employees deferred. This cash value can bonuses on a pre-tax basis. be used to pay benefits in the Employer usually provides future matching contributions • Guaranteed death benefit can be used to meet death benefit obligation in the event the par- ticipant dies • Life insurance proceeds received by employer in excess of the benefit payout will be retained by the employer and may be used to recover costs of the plan Supplemental • Employer-sponsored and • Employer wants • Plan is non-qualified so it doesn’t • Cost-effective method to help Executive employer-funded non-qualified to create attrac- have to be pre-approved by IRS and employers pay promised ben- Retirement deferred qualification plan tive retirement employers can discriminate in favor efits with little or no drain on (SERP) • Can be used to provide a package for of selected employees the company’s future earnings substantial retirement, disability productive and • No government imposed limits on • Cash value accumulation in the and death benefit to owners profitable highly the amount and duration of the de- policy accumulates income-tax- and key executives without ne- compensated ferrals, although the employer can deferred. This cash value can cessitating the costly inclusion executives impose them. Deferred amounts can be used to pay benefits in the of rank-and-file employees vary among employees in the plan future • Employer can set vesting • Can be used in addition to qualified • Guaranteed death benefit can schedules on funds up to retire- plans be used to meet death benefit ment, if desired obligation in the event the par- ticipant dies • Life insurance proceeds received by employer in excess of the benefit payout will be retained by the employer and may be used to recover costs of the plan

A10 MTL MTL Means Means Business Business Why Whole Life Insurance? Why Mutual Trust?

Th e guarantees and fl exibility of whole life insurance make it a good choice for business planning. Participating whole life policies not only provide a guaranteed death benefi t -free, but they build up guaranteed, tax-deferred cash values that off er business owners fi nancial fl exibility and options.

Th ree major advantages of participating whole life insurance:

A guaranteed death benefi t, which is usually income tax free.

A guaranteed, level premium that will not increase for the life of the contract, and

Guaranteed cash values and non-guaranteed dividends that accumulate on a tax-deferred basis and can be accessed by policyholders through loans.

Although MTL Insurance Company®, a member of Mutual Trust Financial Group, off ers a diverse range of insurance products and annuities, it is best known as “Th e Whole Life Company,”® because of its long history and expertise in developing participating whole life insurance products. Th ese guarantees and fl exibility make MTL’s whole life products, especially its premier participating whole life insurance policy, Covenant II, a good choice for business planning. For more information on the business plans Mutual Trust supports and how they can help business owners, see the plans on pages 9 and 10.

BusinessBusiness Planning Planning Concepts Concepts 11 B How can I create presentations and proposals for business clients?

Mutual Trust offers a variety of valuable resources, including personal assistance with case design.

Mutual Trust provides a range of support and systems to help you develop plans, pre- sentations and proposals for business owners that you can present with confi dence.

Personalized Plan Design and Advanced Consulting At Mutual Trust, we understand that you may have questions and need assistance We provide in case design. Th at’s why we’ve assembled a team of experts to help you. you with a Rich Weizeorick, FLMI, PCS, MTL’s Senior Sales Support Specialist and Coordi- nator of the Business Planning Concepts Program, is available for assistance with range of case planning and design during normal business hours. You can contact him at support and our home offi ce at 800-323-7320, ext. 5309. systems to Mutual Trust also provides advanced consulting, including consultation on tax and legal aspects of the fi nancial plan that you can share with the owner’s CPA, attorney help develop and other trusted advisors. Th is advanced consultation is available through the law and present offi ces of Friedman & Downey, PC. See the Agent Web Site for contact information. your plan to Online Resources Th e following tools are available on the Agent Web Site, under “Marketing Sup- your clients port/Business Planning Concepts.” with confi- • AMO: Advanced Markets Online (see screenshots on opposite page) dence. Th is comprehensive, user-friendly library of information provides the essen- tial technical information you need to work in the business market. Designed to meet a wide variety of user needs, AMO is fast, convenient, accurate and interactive. You can use it to fi nd a specifi c fact or browse through a network of integrated information and customize your own path to fi t your specifi c needs. AMO also includes commentaries on current topics aff ecting business planning

12 MTL Means Business concepts. For tips on using this powerhouse of information, sign up for the Did you know? MTLU course, “Advanced Markets Online (AMO), or watch it “On Demand.” Selling life insurance • Advanced Presentation Software to individuals for Th e Advanced Presentation Software enables you to develop compelling consumer personal use is similar presentations and client-specifi c illustrations using MTL products. Th e software to selling life insurance includes 30 advanced concepts, each with built-in training on market issues, to business owners for taxation and illustration procedures. MTL’s Century II illustration software feeds business planning. directly into the Advanced Presentation Software so you can create a presentation based on your client’s specifi c needs. You can download the Advanced Presentation So you already have software from MTL’s Agent Web Site. many of the skills you need to succeed in this • MTL University (MTLU) Courses marketplace! Check out MTL University on the Agent Web Site for an ever-growing list of online courses covering all facets of business planning concepts. Some popular courses include: Please note: Business plan- ning concepts and some of the uses for business insurance are – BPC Business Continuation: Buy-Sell Insurance different from personal insur- ance, however, and they often – BPC Key Person / Executive Bonus require that business owners have their CPAs and attorneys draft legal agreements to sup- • Webinars port the concepts. Therefore, Stay up-to-date on hot topics related to business planning with webinars deliv- after your initial meeting with a business owner, suggest that ered by our Business Planning Concepts Specialist and other guest presenters. the owner have his or her CPA Live webinars often become part of our library and are available “On Demand.” and attorney attend future meetings so they can begin to draft these agreements. • Vanguard Articles Find the latest articles related to Business Planning Concepts published in previ- ous issues of our publication. (All articles are online at the Agent Web Site.)

Business Planning Concepts 13 How do you close the sale?

Generally, the same way you close any life insurance sale, with confidence, by suggesting cross-sale opportunities, and by asking for referrals.

To simplify closing business sales, Mutual Trust has created a special Business Plan- ning Concepts Checklist. Here’s a review of what you need to do after the owner has accepted your proposal and how the checklist can help.

Close your Before meeting with the business owner to have him or her sign the life insurance application(s), review MTL’s Business Planning Concepts Checklist to ensure: business sales with 1. You have assembled all the paperwork that the client needs to sign. (Th is paper- work will vary depending on the concepts sold.) the Business 2. After meeting with the owner and getting signatures on all required documents, Planning fax in the application(s), like you do with personal life insurance, and include all the required documents and a cover letter (see the Business Planning Concepts Checklist Checklist for details). 3. Th en contact an MTL-approved paramedical organization to arrange for under- as shown writing (see MTL’s Underwriting Guidelines for contact information). At this on opposite time, you should review the checklist again to confi rm that you have submitted all required materials. page.

Materials you need to submit to Mutual Trust to complete the sale:

• Cover Letter (see Business Planning Concepts Checklist for details) • Application for Life Insurance (Form No. ICC12)

14 MTL Means Business When the policy is available from MTL, deliver it to the business owner. At this time, You do not you might also set up a follow-up meeting with the owner(s) to discuss how the new plan is working and to explain the additional services you can provide to both the need to owners and employees. Remember, business owners, like your personal life insurance clients, buy from—and give referrals—to people they know and like. Be one of these, submit the and before you know it, you’ll be successful in the business planning marketplace, too. Business

For more information, please contact Mutual Trust Financial Group at 800-323- Planning 7320, ext. 5309. Concepts Checklist to the client or to Mutual Trust. REMEMBER... Protect your client’s business.

Visit Mutual Trust’s Agent Web Sitete Call 1-800-323-7320, ext. 5309

Available on the Agent Web Site under “Marketing Support/Business Planning Concepts”:

• Business Planning Concepts Checklist (Form No. 333)

Business Planning Concepts 15 WHY Mutual Trust Financial Group

Mutual Trust Financial Group, like its name implies, is a mutual organization,rganization, which means it exists for its policyholders. As a mutual organization,n, iitt is not publicly held and does not have shareholders, so instead of making fi nancialnancial decisions that produce short-term gains to satisfy the goals of shareholders,holders, it can make decisions that position it for long-term growth and have a popositivesitive eff ect on the fi nancial security of its real owners, its policyholders.

Licensed in 49 states and the District of Columbia, MTL Insurancence Company®, a member of Mutual Trust Financial Group, has steadilydid lyy grown in sales and distribution since its inception in 1904 and is a strong, fi nancially stable organization with an impeccable reputationiion for integrity.

For additional information, about Mutual Trust or iitsts Business Planning Concepts, please contact us at 800-323-7320.0. As LIMRA confi rms, the Business Planning Market is surpris- ingly underserved today, so getting in now is a strategy worth considering.

1200 Jorie Boulevard • Oak Brook, Illinois 60523-2269 1-800-323-7320 • www.mutualtrust.com

For Producer Use Only Base Policy Form No. 331 (8/13)