What is your most valuable asset?
Great question, but the answer can go in many directions. Do you think it is your physical assets or intangible assets? What’s the one thing you can’t replace in your business? That is your most important asset. I think you would agree that human resources (you) are the business’ most valuable asset.
I think of those businesses who were housed in the World Trade Center who are still in business today. One organization in particular was back up and running within 3 days. That was an extraordinary story of Empire Blue Cross Blue Shield who was in the north tower. While they did suffer the loss of 9 employees and 2 consultants, over 1900 workers survived September 11, 2001. Physical infrastructure over 480,000 square feet for the company’s headquarters were lost and all the contents therein. However, within hours they had alternative facilities and computer hardware arrangements to begin work again. Within 3 days they were back to fully operational. The reason this was possible is they planned for a disaster recovery.
So how does this relate to me? I am my business and I don’t have many employees or any employees. YOU are the most important asset along with your employees followed closely by company data! The physical items of our business are typically things we think of to insure and protect from loss and we do a great job in ensuring that happens. If you are physically or mentally unable to do the work, what would happen to your business? Who would run your business if you were unable to tomorrow? If you didn’t have your business’ income, how would your personal life be affected?
I don’t want to be the one who tells you this, but you are important to the success of your business. You have the power to make sure that what you have built can outlive you, if you so choose. What can you do to plan for this? You just started your first step! Think about it, recognize it as a possibility, and make a plan of action in case something does happen. There are many ways to go about this. You could have additional human capital, insurance, or a succession plan. Let’s look at each option. What are the implications of each course of action? How would this happen? What steps would need to happen? When could this be done?
You could outsource or hire someone else to manage the business. If you are an owner operator with a truck, could you place someone else in that seat for a temporary contract? Is there someone else who is trained and could do this in your absence? If you don’t have anyone, and you couldn’t hire someone else to do it, what are your other options?
Could the business be on hold temporarily? Do you have short term disability insurance to have some income? What about long-term disability? Critical Illness insurance? Life insurance? Let’s be honest, most of the time it will come down to money and ability to provide for not only yourself, but your family too.
Getting out of business. Going back to an owner operator, could you sell your truck? Could you sell your contract with a shipper? Do you have a family member who could take ownership of the business?
Not sure where to start, let’s meet and talk and get you with other professionals who can help you as well.