Last updated 05:30, Friday, 13 June 2008

When things are going well it’s tempting to put planning for more uncertain times to the back of our minds.

What does the future hold? And are you financially equipped to cope?

But by considering and addressing various financial issues early, problems that sometimes occur in more difficult times can often be avoided or diminished.

We are all prone to thinking that “things happen to other people”.

Take a moment to consider, should something happen and you or your employees are not able to work, do you have enough financial security to get through and, if you have a family, can be taken care of too.

For most people, the answer would be no. Life insurance may seem unnecessary, but in reality it is quite the opposite.

There is a wide range of policies out there which can help give you peace of mind and protect you, your family, your home and your business in different ways.

It is always prudent to put money aside for a rainy day. Whether it is for a family wedding, school fees or children going to university, we benefit from the comfort of savings.

It is important to research for the most tax-advantageous products to maximise the benefits of your savings.

Nowadays we tend to live in the present and it is remarkably easy to put retirement to the back of minds. However as life expectancy extends there is an increasing challenge to ensure we have enough funds put aside to enjoy a comfortable standard of living.

The best way is to spread your pension payments over as long a period as possible before you retire. It is also important to consider as early as possible what type of lifestyle you would like to enjoy during your retirement so that your pension fund can meet your expectations.

If you are also relying on the sale of business premises as part of your retirement planning, you must remember the property market may either be static or declining when you come to retire.

This could mean that you have to remain in business for longer than you planned, while you wait for the property market to strengthen.

Planning ahead and obtaining a balanced approach to retirement planning could ease the burden.

In business, it is always best to expect the unexpected. A bit of careful planning and preparation for the future can ease some of this uncertainty, enable your business to run smoothly and give you the opportunity to enjoy your future.

The Cumberland Building Society offers a wide range of financial services to both individuals and businesses.

David Wallace is a business lending manager at Cumberland Building Society. Visit the website at www.cumberland.co.uk.

This article should not be relied on when making investment decisions. Always seek financial advice.