Starting your own business can be a very profitable endeavor, but reward doesn’t arrive without taking some calculated risks. Some risks are worth taking, while others could jeopardize long-term stability.
How will you know which path to take?
In this post, we’ll explore four common risks for startups and what you can do to protect the future of your business.
1. Growing Too Fast (Without a Plan)
Business growth is usually a good thing, but if your business takes off quicker than expected you may not have a plan in place. Fast growth can be overwhelming, and it can present numerous risks. If your startup is growing faster than your business plan, it’s time to bring in the experts. Talk to an insurance agent about what you need to do to protect your business as it grows, and consider consulting with other professionals such as accountants and attorneys as needed.
2. Overpaying for Insurance
Do you actually know what you’re paying for? What does your policy cover? This is why it’s helpful to work with an insurance agent that you can trust. Your agent can help you figure out what type of coverage you really need (and hopefully never have to use!)
3. Cyber Risks
Many new startups are tech-based. Cyber liability threats can be a real issue, so software-based companies have some special insurance considerations. What will you do if your company experiences a data breach? What if someone hacks your site or a competitor attempts to take your intellectual property? If you offer SaaS (Software as a Service) tools or other online services, talk to your insurance agent about the risks your company may face and your policy needs related to those risks.
4. Identity Theft
We’ve all heard stories of identity theft, from stolen credit cards to hacked online systems. While promoting your business online can help you attract new clients and reach a wider audience, it can also increase your risk for personal identity theft. After all, even if you only use social media conservatively (or not at all!) it isn’t difficult for potential hackers to find out what they need to know to impersonate you online. The threat of personal identity theft is just one of many reasons that it makes sense to keep your business and personal accounts separate. Your insurance agent can help you protect your personal assets as well as your business.
Is Your Dream Insured?
As you can see, startups face a number of risks. Luckily for you, the independent insurance agents at Kincaid Insurance are well versed in the nuances of those risks. Our team is happy to help you evaluate your business’s risk and provide a no-obligation free quote.
You can stop by our headquarters in Rockport, Indiana or simply give us a call toll-free at 1-877-888-5506.Request a Free Quote