But why do so many businesses fail? Quite often, a small business will fail due to a lack of forward planning. Obtaining the right advice from industry professionals such as accountants, lawyers and insurance advisers, in addition to well thought out planning are key for starting a new business. Get it right at the beginning and chances are your business will be a success.
In this regard, insurance is one of the most important considerations. Ensuring you have the right covers and understanding the risks and exposures relating to your business is vital. The protection, not just for your business, but for the personal assets of directors and officers, is another important feature as these may be exposed if their actions are brought into question.
In the very early stages of developing a business plan, you must ensure you have adequate insurance that will continue to meet the needs of your business, and be subject to review as your business evolves. It is not a case of ‘set and forget’ as your policies may need to change as your business grows.
Having the right insurance in place to manage your business risks is essential. This means, obtaining the correct advice up front and reviewing your insurance regularly, as your business grows and changes to ensure that you will be covered if you ever need it.
Each business is unique and therefore requires customised insurance solutions. We have compiled this series of articles to help business owners understand the insurance cover options they may need to consider for their business.
This information provided is a guide only. Always consult with an adviser for more tailored advice for your business.
In our article series for New and Existing Business Owners, we will be covering some tips on the following insurance covers over the coming weeks:
- Business Property & Liability Insurance
- Professional Indemnity Insurance
- Management Liability
- Workers Compensation Insurance
HERE ARE SOME USEFOOL TOOLS & RESOURCE
Starting a New Business
There are some great resources and tools for starting a new business available on www.business.gov.au website including:
Checklists for starting and growing a business
Insurance requirements for acquisition and service contracts
- Starting a business checklist
- Growing your business checklist
- Checklist companion
- Business Plan Template and Guide
- Emergency Management Template and Guide
- Social Media Plan Template and Guide
- Succession Plan template and Guide
Marketing Plan Template and Guide
The IP Toolkit has three parts:
This paper has been prepared to assist readers to draft and negotiate insurance clauses in acquisition and service contracts
Disclaimer – “This material contains general information only and may not suit your particular circumstances. To decide if a policy is right for you please carefully read the relevant Product Disclosure Statement (PDS) and/or Policy wording. While we have exercised due care and skill in preparing this information, Optimum Insurance Services (Optimum) does not accept any legal responsibility or liability for negligence or otherwise to you or anyone else who seeks to rely on this information. This includes, without limitation, loss arising from a possible failure of the information to comply with statutory or regulatory requirements or the failure of the information to identify other terms and conditions beyond those considered in this document. You should obtain advice to ensure that your policy provides adequate cover for your circumstances.
Optimum Insurance Services Pty Ltd is a Corporate Authorised Representative of Insurance Advisernet Australia Pty Ltd (Car No. 291220), Australian Financial Services Licence No 240549, ABN 15 003 886 687.