Are You Prepared?

As small business owners with many of us working from our homes, we do not think about what a disaster can do to our businesses. Here in New Jersey we have the threat of hurricanes during the summer months and even in the winter we can get hit hard by Nor’easters that bring several feet of snow and take down power lines. So do you have a disaster plan for your business? Disaster can strike at any time and does not necessarily have to be weather related. Please take some time during this summer to prepare your Emergency Disaster Plan. To help you get started, here are some things to think about: • Off-site backup: Do you have an off-site back up of your computer files? There are several companies offering this service such as Mozy, SOS Online Backup, Carbonite, DropBox and even Intuit (as mentioned in last month’s newsletter). • Legal documents: Be sure your important legal documents such as Passport, Will and Living Will, Business Succession Plan and Incorporation Papers are either stored in a fireproof filing cabinet, safe or safe deposit box at your bank. • Insurance Policies: When was the last time you reviewed your insurance coverage? Do you have adequate coverage? Does your homeowner’s policy cover your business equipment? Most homeowner policies do not and require you to purchase supplemental insurance for business equipment. Schedule time to speak with your insurance agent to be sure you are adequately insured. • Inventory of your personal possessions as well as your business equipment: Take photos of your household possessions and home office equipment. Insurance companies will also require serial numbers in order for easier processing of any claims. To make this process easier, there is software specifically for recording your home inventory. You can find them by searching for home inventory software online. • Software Licenses: In case of a fire and your computer is destroyed, what about your software? As we all know, software can get quite expensive if we have to repurchase lost programs. Document all the software on your computer including the version and serial number. This may be a good project for you to give to your son or daughter while home on their summer break. • Financial information and filed tax returns: These documents are also just as important as your legal papers and should be stored in fireproof cabinets or a safe as well as making sure your computerized accounting program is backed up on a regular basis and stored off-site. • Emergency Supplies Kit: Be sure to put together your Emergency Supply Kit which should include at least a 3-day supply of bottled water, canned, non-perishable food, a battery operated radio, flashlight and extra batteries, first aid kit, manual can opener, needed prescription medications, cash and any special needs items. FEMA has a very informative website (Ready.gov) including a sample emergency plan, computer inventory form and an emergency supplies checklist in helping you prepare for a disaster. Also check with your state’s Office of Emergency Management. They offer assistance specific to the emergencies that may strike your area as well as resources and emergency contact phone numbers. It may be a large undertaking now, but if disaster strikes, it will be well worth the time and effort you put into it. Insurance claims will process faster as well as you getting your business back up and running.