If your business has the resources for a situation that requires the immediate hiring of new qualified employees, your operation can continue without interruption or significant interruption. A purchase agreement would work well in a business owned by two partners. In this case, the partners would take out term life insurance, which would allow a partner to buy a business in case a partner died or was unable to work. One of the reasons companies take out key insurance is to protect themselves from the headwinds that can arise in the event of the loss of a key person or employee. A company can use a key man to take care of all expenses until it finds a worthy replacement. Such payments can also be made to repay debts or distribute money to investors.