Small businesses are optimistic about 2015 according to a survey by the Federation of Small Businesses (FSB). Their findings indicate that 62% of small businesses are planning on exporting, hiring staff, and experiencing business growth within the first three months of the year.
With small businesses often cited as the backbone of the British economy these findings are particularly encouraging.
If you are planning to grow it is important to consider how you will finance it, an issue we cover in greater depth here, as well as how you will protect your changing business.
- Does your business description detail all your activities? – It’s important to check that your business description remains accurate, particularly if you are diversifying or expanding your activities as this goes to the heart of your insurance policy and determines the extent of cover provided. Not mentioning something you do as a business could leave you without cover in the event of a claim and have disastrous consequences for your business.
- Reading the small print – Spending a little time checking the warranties / conditions and exclusions could prevent problems if a claim occurs. Not abiding by a warranty or condition could render a claim null and void even if breach of the warranty/condition has nothing to do with the actual claim being made. A warranty is basically a promise to do something or not do something. If you have any concerns about a particular warranty or condition then speak to your broker as warranties and conditions can often be negotiated and your broker can speak to insurers on your behalf.
- Are you covered for exports? Are there any ‘geographical limits’ which may also be known as ‘territorial limits,’ in your policy? This basically means the physical area where you are permitted to work/trade and where your products are exported to. For instance, a policy may provide cover for work ‘worldwide excluding USA/Canada’ in this instance if you wanted to trade with the USA you would need to speak to your broker to arrange additional cover.
- Have you considered your staff? If you are employing your first member of staff there are a few things to consider which we cover in more depth here. Even if this is not your first recruit you need to check that any employees joining your organisation, including apprentices, are covered under your Employers’ Liability insurance.
Obviously this list isn’t exhaustive so if you are planning any changes it may be worth giving your broker a call. What are your plans for your business? Are you optimistic about growth in 2015?