Rose Ann Cabrera
Running your business at home is not as easy as you think it is. The truth is, a home-based business entails as much risk as having one in a commercial office. There’s the issue on insurance coverage, data security risks and financial uncertainties. If you’re just starting out with your business, these things can sound a bit overwhelming, right?
Your best defense against most business unpredictabilities is having a good plan. By putting the right plan into action, you’ll not only be guaranteed with good profits but your business’ protection as well. Here is a list of steps you can follow to protect your home-based business:
1. Insure your home-based business.
Generally speaking, your homeowners insurance policy can’t give you any form of protection in case your home-based business experiences any unfortunate events. It also isn’t likely to cover data loss, stolen equipments or accidents.
In order to take some of the risks off of your business, you can transfer the liability to an insurance company. You can do this by subscribing to an insurance premium. Your choice of coverage will have to depend on what you think your business needs more.
● General liability coverage can protect you in case one of your clients files a lawsuit against you. This can be a lawsuit resulting from an injury, negligence or even an accident.
● Data compromise coverage can help you manage certain events involving your clients’ data loss through your system.
● Business property coverage can give you protection in case any of your business-related items are lost or stolen.
● Employment practices liability coverage can help you in instances where one of your employees decides to sue you for “getting terminated wrongfully”.
2. Know the business.
The idea of earning a big sum of money can be quite tempting. This is why it’s very important that you know your business well so that you can differentiate a scam from a legit work. Before you decide to extend your home-based business or venture out to a different product or service, be thorough in assessing.
3. Background check your employees.
Whether you’ll be hiring two or ten people for your home-based business, you have to make sure you can fully trust them. You can conduct background checks and ask for valid credentials from potential employees. Screening the people you’ll be hiring is very important in avoiding causing harm to your business and clients.
4. Secure your transactions.
Business transactions and all important documents must be kept safe and locked inside a cabinet. These documents can contain your customers’ personal data and exposing their names, addresses and even credit card numbers can cause a lot of damage. You should take responsibility in making sure they won’t end up in the wrong hands. Dispose old transaction records that you no longer need.
5. Be protected against hacking.
If the said documents are vital to your business, you can back them up in an online storage service before disposing the hard copies. For added security, you can duplicate the records and store them in your local hard drive.
On such note, you must also keep in mind to protect your data. Select a strong password in protecting your computer and network and be careful in sharing them with your employees. You should also refrain from using public connections in checking your transactions. Make it a point to keep your software, particularly your antivirus, updated at all times.
6. Keep your home private.
You can make a separate and private mailing address to make sure your home address remains safe. You maybe working from home but that doesn’t mean you have to broadcast your personal address. You should also keep in mind your family and your home’s safety in doing your business.
7. Arm your home with a security system.
A good home security system can make sure your home and your business are protected against burglars and intruders. You can select a system that includes motion and contact sensors so you can know right away if someone is in your office. You should also include security cameras that feature night vision capability in case someone sneaks in at night. If you can’t decide on which system to choose, you can read some reviews on home security systems.
8. Install smoke and fire detectors.
Security threats are high whether you’re in business or not. However, other than burglary and hacking, you should also make your home protected against fire. Without a good fire alarm system, you could lose not only your business but your home as well.
Running a home-based business can help you earn money while enjoying the comforts of your home. However, as it’s still an investment, you have to make sure you’re fully protected all the time.
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