Risk Management 101 for Small Business Owners
Good article from American Express Small Business. Here are some of the highlights: Risk is an inherent part of being in business. It can be managed and its adverse outcomes can be mitigated. The greatest challenge for small business owners is to find the proper balance between peace of mind and profitability. Take these steps to put an initial risk management plan into place at your company: First: identify risks Some risks are common to most or all businesses. Others are very specific to your business and only you as the owner can know them. The best way to approach this is to use a standard risks checklist as a start and then add to it based on your specific expertise. The Small Business Administration provides a Small Business Insurance and Risk Management guide which addresses potential risks. Second: determine your company’s vulnerability for each risk Vulnerability is a function of probability – what are the odds that a partic...