Planning for Every Emergency

Accidents happen! But even minor mishaps can beis using an on-line backup. For a nominal fee,
major catastrophes for small business owners.on-line back-up solutions allow you to store
Every year, thousands of companies areinformation on a secure, encrypted server. The
unprepared for the interruption caused by a minorprogram will run overnight, in the background, as
fire, flood, and burglary or computer meltdown.long as you leave your computer on. The cost will
According to a recent NFIB National Smallvary depending on the amount of data to be
Business Poll, man-made disasters affect 10% ofstored. One of the advantages of the on-line
small businesses, whereas natural disasters havesystem is that your data can be transferred via
impacted more than 30% of all small businesses inthe internet to any location where you resume
the USA . Creating, and implementing a Businessoperations.
Continuity Plan will ensure your business survivesOperations Continuity - More than Data
any disaster; man-made or natural.Having access to your information is a key
While the details of the plan will vary fromstarting point, but business continuity plans need
business to business, the main elements are theto address more than just data recovery. It
same. A well thought out plan begins by evaluatingshould also cover how you will continue operations.
different types of disasters or events. How likelyFor example:o Where will you operate if your
is it to occur, and what are the potential impacts?office is damaged or destroyed? What is the
Hurricanes are unlikely here in Indy, but Tornadosminimum amount of space you will need? Does
and high winds (as evidenced by the damage toyour landlord have other property you could
the Regions Bank building this spring) are verymove into temporarily? If not, take time now to
likely.research the costs and availability of space at
Once you have analyzed the risks, it is easier tolocal virtual office facilities.
outline a plan which will help you resumeHow will you finance equipment replacement? A
operations quickly, take care of clients andgood insurance policy will cover the cost of
employees, and minimize the financial impact ofreplacing office furniture, equipment and other
the disaster.assets. As part of your contingency planning,
What Your Plan Should Include:review and understand your insurance coverage.
Information Access - Copy and Store Key FilesIf you are operating out of your home, talk to
For many small business owners, the computer isyour insurance agent. Your simple homeowner's
the heart and soul of the business. And while wepolicy may not be adequate coverage for your
depend heavily on these devises, we know thatbusiness. If you are renting, be sure you
computers crash, virus' attack, natural disastersunderstand clearly what your landlord's obligations
occur and every user makes mistakes from timeare according to your lease.
to time. The consequences of inadequate back-upIn addition to property and casualty insurance,
protection when a failure occurs can be disastrous.you should consider business continuity or loss of
Rebuilding financial information, contact lists, E-mailuse clauses which provide additional insurance to
records or project files can be time-consuming,cover expenses such as moving or damages
expensive and sometimes impossible.caused by missed deadlines. Talk with your
Creating copies of critical files on a regular basisinsurance agent regularly to be sure you are
allows you to resume operations quickly after aadequately protected.o Document what you own.
crisis. How often you need to create a back-upEven if you have adequate coverage, most
depends on how often files change.policies require a detailed list of what was lost,
Some business programs such as ACT anddamaged or stolen. In the event of a disaster, a
Quickbooks, have a built in back-up function. On adocumented inventory, complete with serial
regular basis, they remind you to create a quicknumbers and model numbers, will simplify the
back-up copy which can be restored in case of anprocess of completing insurance forms required to
emergency.submit your claim. Your disaster planning should
Other common programs such as Microsoftinclude preparation of such an inventory, so you
Office or Adobe do not include their own back-up.do not waste valuable time after the crisis trying
In this case, the responsibility is yours. If you areto remember what you owned. Be sure to
using Windows XP it has a basic program whichupdate this inventory periodically as you make
will schedule and run back-ups automatically. If younew purchases for your office.o Who will take
are using an older version, you can still manuallycare of your customers if you can't? In the event
copy key files.that you can not complete a project or meet a
In each case the data must go somewhere. Whiledeadline because of the business interruption, do
the programs offer to copy data to anotheryou have a relationship with someone else who
portion of your hard drive, that won't help if yourcan serve your customers on a short term basis?
computer is destroyed or missing. ImportantNegotiating emergency out-source agreements,
information should be copied to some type ofincluding pricing and procedures, protects your
external media such as a zip disks, CDs or DVDs,long-term customer relationships by taking care of
tape back-up or external hard drive.their needs even when you are not operational.
Store your back-up off-site. Many businessAccording to the Financial Planning Association, of
owners carefully and diligently copy all key filesthe businesses that suffer a disaster, 40% fail to
and store the CD's or external hard drive rightreopen and 25% that reopen close within a year.
next to their computer, but a flood or fire willPlan ahead! Disaster may never strike, and you
damage both. Your continuity plan should includemay never need to execute your plan. But if
an off-site storage location for electronic media.something does happen, a well thought out plan,
For a small business owner, this can simply meanwill help you through the transition and increase
taking the files home or trading with a peer,the odds that a temporary business interruption
storing their files in your office, and yours in theirs.does not become a permanent one.
A simpler, less tedious or time consuming solution