Small Business Planning for the Unknown
You've done your due diligence, you've researched the situation, and still, the “what if…” happens. What do you do if you make the wrong choice for your business? Leading small and mid-sized business insurer RSA offers advice on managing your risks and avoiding the unexpected:
• Have Plan A, B, C and D: It's important to have options and to think through all possible scenarios. What happens if the technology you invest in is the wrong one for your company? It's advisable to reach out to as many trusted advisors as you can, including your insurance broker, to get diverse points of view before you make the final decision.
• Talk to your employees: They're the ones on the front lines who can identify potential issues, and more importantly solutions, early.
• Include “what if” clauses in contracts with vendors and agree to contingency plans up front. What happens if a crucial shipment is delayed? What would you do if a key supplier has a large fire and is unable to supply you with stock or equipment that you need to run your business? Developing contingency plans before the problem occurs ensures that everyone knows their role and can work solving the issue.
• Building strong relationships with vendors and building in the right amount of process will help things run smoothly. Understanding your vendors can help you get to the front of the line during times of crisis or may even help you avoid a potential crisis.
• Ensure you've got the right insurance coverage for your business: Making sure you have business interruption insurance can protect your business so that you will be put back in the same financial position that you would have been had that “what if” been a “no worry”. A knowledgeable insurance broker can help you determine the best coverage for your business.
More information is available online at www.rsagroup.ca.
-- News Canada
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