Tools & Support / Business News
Act now or face disaster
Small businesses across Shropshire who fail to protect themselves from potential disasters could face financial ruin.
Mark Bramall, from the Business Development Services Team at Dyke Yaxley Chartered Accountants, in Shrewsbury, said contingency plans were vital if companies wanted to survive.
"Many businesses do not have any proper contingency plans in place to deal with unexpected events, and this is a big mistake.
"From global pandemics to natural disasters, employee fraud, or the loss of key data, an unexpected incident can cause real problems for any business.
"And if you don't have adequate protective measures set up, such an event could even spell the end of the business."
Mark said companies should compile a list of the key assets their business would need if it had to continue operating in difficult circumstances.
"Consider premises and vehicles, stock, plant and machinery, data and IT systems, intellectual property, and staff resources.
"Then make a list of all the potential events that could affect your business, from floods and fires, to bouts of illness, and rank them according to the likelihood they may happen and the level of impact they'd have."
He said once a company had identified the risks, it was important to set out a strategy to deal with them.
"You must also test your plan once it has been drawn up, to make sure you haven't missed anything, and then make it part of your standard operating procedures, ensuring everyone in the firm understands what role they need to play.
"It's all too easy to put off thinking about potential risks, but the whole point of contingency planning is to protect your business against an unexpected event which could occur at any time, so you must act now."
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