Disaster Recovery

[Nate Stockard]

The recent events in Houston will open the eyes of a lot of business owners. Before the last hurricane scare, I realized I was not fully protected. My business relies primarily on electronic files and my software. I knew I was not backed up properly, so I purchased hard drives and acquired online backup sources.

I have recently looked into insurance for my business that will provide me with business income in the event that my business can not operate. This insurance is extremely affordable (less than a $1000 a year).

I say all of this, because we never know when a disaster might strike. We never know how sever it might be, so we must always be prepared. I have come across a link from FEMA that gives business owners a checklist for a disaster recovery manual. Although it may be too late for this manual now for Ike victims, it is something to have at least for future problems.

http://www.fema.gov/business/bc.shtm

Once again, let us know if you need any help. This organization is intended for helping small businesses in good times and in bad. We must band together and help one another.

We are all in this together!

[Cyndi Gutowski]

The reason why you have to have insurance in most cases with a car and house is because you owe on it and it protects the mortagager or finance company. I think it depends on your type of business how you should prepare, for some; insurance may be a waste, some; it will be their life saving. As we are seeing now most insurance companies are not covering businesses that had insurance during Ike, and now 8 mths later the courts are packed with law suits, insurance companies winning.
One great thing to look forward to is if you are 50 and over, the AARP has the best insurance companies to cover small businesses even if you are in the home with your business, where in my case (still under 50) the insurance would not cover my inventory losses or power losses preventing inventory losses.(fresh flowers in cooler) FEMA does not help at all small business they only cater to homes, so basically I was in a catch 22 and out money ! But the SBA was handing out loans right and left.......didn't loose that much to put myself right back in debt!
If you do make the choice: to get insurance, my suggestion would be get an attrny to help you understand the fine print, it might be expensive but it will save you in case of another disaster. We all look at insurance as paying to replace what we lost, in the insurance companies eyes that's not the case by having an attrny oversee the fine print he will be able to help you know just what you are paying for and not what you think or was told by sales agent you are paying for......

[Nate Stockard]

I completely agree. I have been guilty of not having business insurance several times in the past, and it never turns out good. Unfortunately, insurance is something you only need when you don't have it!

[Pamela Latham]

Thanks Nate, that was good information.

I might add that quite often, we as small business owners don't think that business insurance is necessary. Think about it this way... Your business is quite a bit more important than your car and possibly even more important than your house. You wouldn't NOT insure your car or your home...would you?

Pamela