It’s better to have a plan and not need one, than to need a plan and not have one.
After a disaster, your emergency plan will be your guiding light. It’ll help you navigate the days, weeks and months of recovery and help you maximize every opportunity.
Don’t have an emergency plan? Then it’s time to get started on one – here’s how.
Evaluate the risks and determine costs
According to Entrepreneur magazine, you should first determine your risk for a major disaster and anticipate how much different events could impact your operation financially.
Consider everything from natural disasters to civil unrest, and consider how each could disrupt your business. Estimate how much you would have earned had the disaster not struck. Factor in any expenses necessary for fixing your business. Then account for the intangibles, such as:
- Business opportunities that were lost
- Customer turnover
- Dip in employee morale
Invest in the right insurance
After you've assessed your risks, the U.S. Small Business Administration recommends shopping around for a policy that fits your unique needs. Familiarize yourself with the different rates and coverage types so you make a well-informed decision.
In addition to covering your small business with the appropriate insurance, Business News Daily advises you prepare for the loss of data and other important information. For many small businesses, your data is your livelihood. Prepare for the worst and be proactive in protecting it.
Invest in cybersecurity
Is your data protected against breaches? Especially if you have customers' personal information, updated technology, such as the EMV chip, can help provide security against cybercriminals and other breaches. Investing in this technology now, can help protect your customers’ information and your business's reputation.
Revisit your plans regularly
Will last year’s plan suffice in next year’s disaster? The only way to know is to take it out and review it.
As part of that review, evaluate your insurance policies and other disaster preparations. Look for ways to improve your plans. And know that you can reach for that guiding light should disaster strike.