Owning a small business can be both immensely rewarding and incredibly challenging. While having much more freedom than a corporation is fantastic, it can also be tough to address some of the less pleasant issues that come along with working for yourself.
Here are four common small business risks to know, plan for, and/or avoid.
Risk #1: Damage to Property
Think about all the things that your small business owns. Whether it is a retail location full of inventory or tools associated with a lawn care company, chances are there is a fair amount of commercial property associated with running your firm. Now consider what you would do if those items were destroyed in a fire, damaged in a weather incident, vandalized, or stolen. Would your business be able to operate smoothly? Would your company have the capital to repair or replace the items? This is a risk that every business owner should address fully.
Risk #2: Employee Injury
Another small business risk to avoid is employee injury. The moment you decide to hire that first worker or add to your staff, you take the chance that something could happen to that person while on the job. Help minimize the probability of an incident by properly training all employees in proper safety procedures. Furthermore, make sure you have adequate worker’s compensation coverage in the event of an unavoidable accident.
Risk #3: Liability
In today’s society, it is very common for companies to get sued for instances where they are liable. Whether you make a particular product or provide a service, there is always added risk of a claim by a customer or other party. Instances of liability can often vary wildly, making it really hard to reduce the chance of something happening or avoiding an incident altogether. Instead, it is important to protect yourself against the unexpected with proper insurance coverage rather than assuming that your business is completely free from risk.
Risk #4: Business Interruption
Business interruption is another risk for small business owners to consider. What would you do if your company could not operate due to a damaged building, loss of equipment, or other unavoidable circumstances? Avoid financial hardship by addressing the issue ahead of time and having a solid plan in place.
Of course, having the right insurance coverage ahead of time can help protect you against these risks. For more information or to help determine what type of policy best suits your small business, please contact our knowledgeable team at Integra Insurance Services today.