Running a small business takes a lot of work, especially if you’re doing this all on your own. But even if you have several employees helping to lighten the load, chances are you might be spreading yourself thin.
With all of the work and daily tasks you need to keep up with, the last thing you’ll want to deal with is a headache from a legal matter. And unfortunately, when you run a business, you also become the target for hefty lawsuits.
Thankfully, there are many ways to protect yourself when you run a small business. Whether this is through secure banking, insurance, security measures in your office, or anything else, even a little protection goes a long way.
No matter what business you’re in, you’ll likely rest easier at night knowing that you have all of your bases covered. In this post, we’ll explore a few ways you can protect yourself as a small business owner.
Many small businesses don’t offer health insurance for their employees. Though the reasons for this are often due to costs, the problem is that as a small business, you’ll never be able to grow with a limited staff.
Offering a basic healthcare package might take a bite out of your budget, but by doing so you’re likely to attract (and keep) quality employees.
The fact is, many people rate the overall attractiveness of a business by the way it treats its employees, not just its customers. This is a telltale sign of good, moral business practices. And, where a prospective employee is concerned, one might consider working for one of your competitors rather than you if they offer a comprehensive healthcare package.
Another thing to remember is that people do get sick and injured, and without health insurance, you might actually lose employees.
You might think that if you have personal auto coverage you’ll be fine, right? Well, though your personal vehicle is covered by your own personal auto insurance policy, if you use your vehicle for business purposes, you need small business auto insurance.
Additionally, if you or your employees use work vehicles, these also need to be covered with small business auto insurance. But thankfully, shopping for an auto insurance quote is easy, no matter what type of business you run.
Small business auto insurance falls into the commercial auto insurance category, but there are many echelons that you need to consider. Basically, unless you’re using large trucks, you probably won’t need a 5 million dollar policy, but protecting yourself (and your employees) from liabilities in the event of an accident will save you money in the long run.
Small Business Insurance
Perhaps the most important protection that you can have as a small business owner is small business insurance.
One of the more popular policies to consider is a Business Owner’s Policy (BOP). If you consider that the majority of personal injury or property damage claims are generally no less than $30,000, having a BOP becomes a vital necessity.
In this day and age, just one serious financial pitfall is enough to bankrupt a person. And for a business, this is also true. Just one large lawsuit could be enough to put you into bankruptcy, or even make you lose your business altogether.
Small business insurance ranges in package type, and some include all the insurances mentioned above. However, if you run a business with employees, having a BOP policy with worker’s compensation coverage is also something that you need to truly consider.
In this modern age, it seems like everyone is looking for any way possible to get into your bank account. And unfortunately, many customers and employees of yours might try to take advantage of you if they find out that you don’t have any insurance protection in place.
Regardless, accidents happen. So, be smart and protect yourself before it’s too late.