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Protecting Your Business: Tips to Prepare for Environmental Disasters

Posted by Kanika Sinha

December 5, 2023

A quick guide to natural disaster preparedness.

The frequency and intensity of environmental disasters are on the rise across the world. According to the statistics released by Axios, the US alone experienced 23 separate billion-dollar weather and climate disasters in the first eight months of 2023.

Natural calamities, including wildfires, floods, and earthquakes, can take a toll on small companies. Recovering from one can take weeks, months, or even years. 

In light of this, entrepreneurs must prepare for emergencies and reduce risks by implementing correct strategies. 

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Here are six steps to ensure your small business can handle any calamity.

1. Devise a contingency plan 

Draft a plan that outlines your company’s actions in case of possible environmental disasters and communicate it to your employees. Ensure that the plan documents the following:

  • Evacuation routes and escape procedures. 
  • An up-to-date list of local emergency numbers.
  • The contact information of your firm’s emergency response team.

Additionally, ensure the plan is reviewed and reinforced with regular disaster management drills and preparedness meetings.

2. Invest in safety measures 

Installing safety devices at your workplace can help you minimize the damage and injuries caused by a disaster. 

Consider installing and maintaining fire alarms, sprinklers, smoke detectors, generators, fire extinguishers, surge protectors, and other equipment that can protect your business premises and equipment. Also, train your employees to use them and follow safety procedures.

3. Set up an emergency operations plan

Create a plan that details protocols and procedures, including delegation of responsibilities. Ensure it has communication options for your business to continue operating remotely during a shutdown. 

Finally, review the plan with your employees to ensure everyone feels comfortable with the procedures outlined and is ready to implement them when necessary.

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4. Assess your insurance coverage

Review your company’s insurance package to ensure you have enough coverage for your business. Check if you need to invest in additional insurance plans outside your business’s general policies, depending on your industry. 

5. Protect essential data

Environmental disasters can destroy your office systems, documents, and critical business records. Remember to create backups of your company’s data on hard drives, including customer information, insurance claims, payroll information, and tax forms. Besides, arrange to store these drives securely, preferably off-site.

Consider migrating all your company data and business information online. That way, your employees can access ongoing projects or essential documents remotely.

6. Build a network of support

Establish relationships with other businesses, organizations, and agencies to help you cope with and recover from a disaster. Contact your local emergency management office, Small Business Administration district office, or Federal Emergency Management Agency regional office to learn about the available programs and services for disaster relief and recovery.

The final word

You can’t prevent natural disasters, but you can minimize the damage with a thorough plan. Such plans also help you resume business operations as quickly as possible.

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Want to know more about startups and what it takes to get started? Since 2006, Escalon has helped thousands of startups get off the ground with our back-office solutions for accounting, bookkeeping, taxes, HR, payroll, insurance, and recruiting — and we can help yours, too. Talk to an expert today. 

This material has been prepared for informational purposes only. Escalon and its affiliates are not providing tax, legal or accounting advice in this article. If you would like to engage with Escalon, please contact us here.


Kanika Sinha
Kanika Sinha

Kanika is an enthusiastic content writer who craves to push the boundaries and explore uncharted territories. With her exceptional writing skills and in-depth knowledge of business-to-business dynamics, she creates compelling narratives that help businesses achieve tangible ROI. When not hunched over the keyboard, you can find her sweating it out in the gym, or indulging in a marathon of adorable movies with her young son.

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