Uncertainty and unrest have defined 2020. From COVID-19 and record-breaking unemployment to ideological, political, and societal conflicts, business owners have faced significant challenges to their survival and success. Regardless of their political views, health, or financial stability, business leaders agree that they must navigate this time with care. The decisions that business owners make during difficult periods could have long-lasting effects on their businesses’ future success. As a business owner, here are a few things to keep in mind as you navigate these unprecedented challenges.
1. Prioritize the protection of lives. Whether making decisions about reopening or exploring the best ways to express company values, business owners must prioritize the health and safety of their workforce, customers, and clients. Failure to do so may result in the loss of valuable employees, increased health risks, and ultimately, decreased revenue, because consumers will use their dollars to speak for them. From a legal liability perspective, negligence in providing a safe environment for your employees, customers, and clients could have significant legal ramifications.
2. Stay informed. One of the primary lessons of 2020 is how quickly situations can change and how drastically they can impact the course of a nation. It is to your benefit as a business owner to stay abreast of changes in your community and your industry. By remaining informed, you position yourself to take swift, decisive action whenever necessary.
3. Review and update your business insurance coverage. At the height of the COVID-19 pandemic, many business owners looked to their business interruption insurance for relief. In most cases, however, business interruption insurance requires physical damage to insured property before coverage is activated. Other types of insurance should be considered to provide needed supplemental coverage for any future potential outbreaks. For example, some providers offer a communicable disease rider. This coverage is also known as infectious disease insurance and may cover instances where businesses must close due to an infectious disease. This coverage can be added to your typical business interruption, general liability, or key person insurance and can enhance your company’s resilience. In instances where civil unrest has resulted in structural damage to your business, business interruption insurance will likely provide coverage if you purchased it before the damage to your property occurred.
4. Display courageous leadership. More than anything, this period of uncertainty and unrest provides the opportunity to display courageous leadership as a business owner. Courageous leadership involves gathering information, making intelligent decisions, communicating your plans, and taking tangible steps to move your business forward. Business owners that lead their organizations through trying times often position themselves for long-term growth and success.
You Are Not Alone
Our firm is here to help you make the necessary decisions to survive these turbulent times. If your business needs assistance drafting new policies and procedures or would like an audit of the measures you currently have in place, call our office to set up a virtual appointment with a member of our experienced team.