Within the past year, the National Oceanic and Atmospheric Administration (NOAA) reported a total of 20 severe weather or climate disasters in the U.S., which cost the economy $145 billion in damages. That’s the third highest loss on record. – Recover Your Business
If you’re a business owner who recently experienced structural loss due to a fire, hurricane, tornado, earthquake, flood or another natural disaster, then you know the devastation much too well. Fortunately, there are a few action steps you can take in the aftermath to recover both your building and operations—here’s where to start.
Contact All Entities Who Should Be in the Know
Once the initial shock of a natural disaster wears off, proactive communication is essential to business survival. Of course, you’ll need to contact first responders immediately, but that’s not all. Act as quickly as possible to share transparent, real-time updates with the following entities. This ensures that everyone who should know about these unforeseen impacts on your business has all the relevant and necessary information:
- Insurance provider
- Customers
- Employees
- Suppliers/vendors
- Stakeholders
- Chamber of Commerce
Hire a Professional Large Loss Clean–Up Team
From a logistical standpoint, you can’t resume full-scale business functions until your building is operational once again. However, a project this central to business recovery needs professional skills and expertise. So to ensure the restoration is done safely, efficiently and thoroughly, it’s vital to hire a commercial large loss clean-up service.
A team of professional technicians can remove hazardous materials, repair structural damages, and clear out mold, water or debris. Not to mention, it takes much less time than attempting the clean-up yourself. Now only does this restore your building to its pre-loss condition, but it also makes the insurance claim process easier and smoother.
Ensure All Your Critical Business Data is Secure
Your business should always have a secure electronic data back-up and storage process in place, but this becomes even more critical when a natural disaster occurs. The most effective contingency plans account for potential IT outages in the aftermath of a disaster by storing hardcopy files in a weather-proof safe or lockbox to protect these documents when you need them. The following data must be secure and accessible:
- Business license
- Insurance policies
- Legal contracts
- Tax returns
- Lease records
- Financial statements
- Customer information
- Hiring documents
Look Into State or Federal Assistance Programs
It’s expensive to recoup your losses in the wake of a natural disaster—that is the harsh reality. However, government loans and financial assistance are often available. One particular agency, The U.S. Small Business Administration (SBA), offers a disaster relief program to help business owners get back on their feet after damages occur.
In order to qualify for this assistance, the Federal Emergency Management Agency (FEMA) must officially declare the event a disaster. But once you’re accepted, you can use this loan for both personal and business recovery expenses not covered by insurance or other funding. Use this SBA resource page to locate assistance in your area.
Find Ways to Pivot Operations While Rebuilding
As you recover from a natural disaster, keep in mind, it might quite be awhile before you can return to pre-catastrophe business as usual. But just because this new normal is unfamiliar to navigate doesn’t mean there are no opportunities for growth. You’ll just have to be adaptable, resourceful and creative in the rebuilding process. Here are some ideas on how to pivot your operations while you wait on structural repairs:
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- Innovate customer touchpoints. Build an omnichannel (social media, email, SMS, print, etc.) approach to marketing, communication and sales.
- Consider a remote work model. Rather than shuttering while the physical office is closed, transition your team and operations to a virtual setup.
- Streamline the overhead costs. Evaluate all business expenses, identify line items in the budget to eliminate, and look for cost-efficient alternatives.
- Review systems and processes. Run an audit of your current business model to see if there are legacy systems that can use an update or overhaul.
Natural Disasters Are Costly—But Your Business Can Recover
A natural disaster can unexpectedly interrupt your business functions overnight. The structural damage, combined with the personal shock and operational stalls, is hard to navigate. But know that long-term recovery is possible. If you respond with these action steps, your business stands a high chance of survival—and ultimately, success.
