Why Do I Need A Business Insurance?

Why Do I Need A Business Insurance?

Starting a business a huge commitment and is quite a risky matter. Most entrepreneurs are more focused on raising funds, creating effective marketing strategies and it’s essential to assure that everything is well taken care of.

Business insurance is one of the things that’s need to look out for before starting up a business. You have a lot of things to consider and check before you can make a wise decision. The outcome of not having a firm insurance policy should on the top of any entrepreneur’s initial to-do list.

Here are some reasons to consider why you need business insurance.

It’s the Law

The law requires businesses to give certain types of insurance to their employees such as unemployment, disability, and workers compensation; it depends on the state where the business place is.

Failure to sustain command legally would result in penalties, fines, and exclusion from public contracts.

Keeps Your Business Running

What will happen to your business if natural calamities occur? What will you do about the loss of money during your business closed?

That’s where Business Owner Policy plays the critical role; this will help a business survive after a severe disaster by protecting from loss of income.

Human Assets Protector

As an owner, you need to keep the business up and running. But what if you suddenly you had serious accidents or some unfortunate circumstances that take you out of your business for years?

Company-owned life and disability insurance coverage give payments to cover the income you cause. It also offers funds for the acquire of your interest under a buy-sell agreement.

Attract and Retain Employee

Having insurance can have the positive benefit of attracting and retaining qualified employees. Aside from salary, job hunters look for benefits packages that cover health, life, and long-term care insurance. To avoid losing the right employees in your company, you should offer this kind of perks.

Gives You Credibility

Having business insurance makes you look credible. This will show your potential clients that you’re a safe bet. It would be easier for you to compensate if anything goes wrong with the work you do for them.

This is most probably the reason home services companies carry statement “licensed, bonded and insured” on their signage and trucks. This will help build trust, the currency of a modern-day economy.

You Could Get Sued

We are living a contentious community. When lawsuit or liability claim happens, without insurance, your business could bend. One dissatisfied employee, one accident everything will be over. Liability insurance can help you enable to concentrate on what truly matters and will give you peace of mind.

Employee Protection

You might be thinking that your most valuable asset is your services or products that you offer but it’s not. Your employees are your most valuable assets, and it will also pay to protect them an from an accident. Protecting your employees’ interest is also an excellent way to protect you from lawsuits and liability claims.

As you can see, there is a lot of reason to invest in business insurance. To put this simple, protecting what you’ve built and invested in should be enough reason, right?

What Does A Business Insurance Cover?

What Does A Business Insurance Cover?

We never know what the future holds, so it is always best to be prepared. Getting business insurance is probably the best investment that you can do for your business.

According to The Hartford, “business insurance can help pay the costs of property damage, lawsuits, lost business income, and other covered losses”.

Often, businesses will buy multiple coverages and combine several in one policy to protect themselves against specific risks that are unique to their situation.

A Business Owner’s Policy or BOP is among the most popular business policies and includes business property, general liability and business income coverages in one policy.

Chron also advises determining the type of insurance coverage needed to minimize any potential risks to the businesses.

Don’t know where to start? Here are some of the essential business insurance coverage options:

Business property insurance

This will help protect your business’s buildings and personal property. It might include furniture, tools, equipment and inventory.

Business income insurance

Helps replace lost income if you close temporarily due to a covered loss like theft or property damage from a fire. It can also help you continue paying expenses while your property is replaced or repaired.

Professional liability insurance

Liability insurance will help cover costs related to claims that your business made errors in providing its services.

For example, if you make a clerical error and it causes a client to lose thousands of dollars, professional liability insurance can help cover the costs if the client makes a claim. A business doesn’t need to do anything wrong to be sued.

Depending on the scenario, coverage would apply to defend a business if sued.

Workers’ compensation insurance

Compensation insurance helps cover costs to employees while they are unable to work after suffering a work-related injury or illness.

A commercial auto policy

This policy helps protect your business from the costs of a work-related auto accident. If you or an employee is in a crash while driving for business reasons, commercial auto can help cover the costs that result from the accident.

Commercial umbrella insurance

This add-on insurance acts as a safety net that provides additional coverage when other liability policies reach their limits. For example, say a customer slips and injures himself in your store. He then makes a claim against your business for $200,000.

If your general liability policy has a limit of $150,000, commercial umbrella insurance will help cover the remaining $50,000. Businesses find this coverage is essential for helping protect against financially devastating lawsuits and claims.

Data breach insurance

This kind of insurance will help protect your business from the costs of cyber threats or attacks.

Commercial flood insurance

This insurance helps protect your business from the costs of covered flood damage. This includes damage to the physical location of your business as well as its assets. For example, say melting snow floods the basement of your business. The floodwater damages the floor and some tools. If this happens, commercial flood insurance can help cover the cost to repair the damaged floor and appliances.

Employment practices liability

[EPL] helps protect your business if an employee sues you. Even if you are not at fault, defending a lawsuit can be costly. Employees may make a claim against your company for reasons such as discrimination, harassment or wrongful termination. If they do, EPL can help cover the related costs.

Risk engineering

Risk engineering professionals evaluate your business’s risk exposures and then create improvement plans, and programs to train you and your staff to safely handle accidents and follow safety protocols. This can result in a safer, more productive and profitable business.

Multinational insurance

This insurance can help streamline coverages if your business has operations outside the U.S.

Surety & fidelity bonds

A surety bond is a contract between three parties that help ensure a project gets completed or a commitment is met and guarantees payment if they are not. Fidelity bonds are a form of insurance that protects businesses from financial loss due to employee theft or fraud.

Home-based business insurance

Home-based insurance helps cover the costs of property and liability risks to businesses that operate out of a business owner’s home. If you keep supplies, equipment or other business property at your home, or have customers stopping by, consider adding this coverage.

Chron also listed Commercial Liability Insurance which covers claims against the business by third parties. The claims generally stem from accidents that occur on the business premises or injuries to third parties for which the company becomes legally liable.

The business owner must be legally responsible for the injury, typically depending on the location of the accident. In addition to insurance coverage for injuries to third parties, commercial liability policies may cover damage to the property and company products and may provide independent contractor coverage.

Standard business insurance policies don’t cover everything, but it is possible to add coverage riders to standard procedures to help cover additional risks.

Most Important Tools For Work

Most Important Tools For Work

A tool is an instrument or equipment that you use to do a particular work. The list below includes essential tools that office employees use such as pens, pencils, highlighters, paper clips etc. We exclude computers and printers because they are the primary equipment necessary to do office tasks.

Here are the ten must-have office tools:

Pencil

According to Henry Petroski, author of The Pencil – “It has all the functions of a computerized word processor: input point, an output point, delete point, eraser and so forth.” So whether it’s mechanical or ordinary pencil, it is very functional like what he said.

Iconic stapler

Jackie Gyoerkoe said, “I can’t tell you how many offices put a possession mark on their stapler, whether someone writes their name on it or chains it to their desk.”, hence it is an office supply that workers do protect as one of the must-haves.

Paper

It is one of the fundamental essentials in an office for making reports, contracts, invoices and a lot more, so having the right one (be it A4, 8.5 x 11, etc.) is vital. Be practical and wise, practice reusing papers to clean windows, wrap gifts, scrub stainless steel sink or recycling them.

Envelopes, Folders and File Keeper

These are must-haves to protect and organize your documents. Envelopes, folders and file keepers prevent them from being damaged and keep things confidential even if you ask others to take them to another person or place.

Pens

Be it a highlighter pen, marker pen, gel pen, fountain pen or ordinary type, the primary purpose of a pen is for writing and signing.

Planner

It’s easy to open the planner to see the daily schedules you don’t want to miss compared to checking them on your computer or mobile phones. It is also easier to write additional information. There is no need to worry when the battery of your phone becomes drained or no electricity to switch on your PC.

Water Bottle

Hydration sustains the proper functions of our brain, so stay hydrated by drinking water. Select a water bottle that is insulated which keeps liquid cold or hot for long hours and spill-proof to avoid accidents.

Binder and Paper Clips

They are useful filing tools that come handy and make your organizing tasks easy and quick.

Notepads and Post-its

These help you (or your colleague) to quickly jot down substantial details like the contact number or name of the person during a telephone conversation. They also remind you to finish your to-do list.

Hole Puncher and Fastener

Of course, you cannot compile anything in a folder if you don’t have these tools. They are used to keep stray documents in order. Keeps multiple documents organized.

Moreover, there are other essential tools that we may need, but there is no hurry to buy if you can complete the task without them. Having the necessary things help you do the assigned responsibilities of whatever job you have- whether you are an accountant, a doctor, an engineer or a secretary.

5 Digital Marketing Trends in 2018

5 Digital Marketing Trends in 2018

You can’t deny that 2017 was a great year for digital marketing. However, as the old saying goes, “Change is the only constant thing in this world.” It applies not only to life but also to your digital marketing strategies. It is your job as a digital marketer to keep up with the trends, find opportunities, and adapt to change.

As much as you want to hold on to strategies that brought you where you might be right now or if you want to achieve a business goal for specific KPI target, you may consider letting go of the old and welcoming the new.

Here are 5 Digital Marketing Trends in 2018:

Be Relevant

Know that most customers are already aware of the digital marketing strategies entrepreneurs use such as clickbait, lead generation, email list, to dominate the market. Expect that these tactics will no longer be as effective as before because customers desire for something more relevant.

2018 is no longer about who has the biggest email list, but more on the connection. It’s about how you, as a digital marketer, create that connection with your leads.

Understanding what to offer, when to offer and who to offer with will have a significant impact on digital marketing.

Maximize Social Media

Facebook may be the social media platform with the biggest number of users, but in 2018, it’s not enough to be on Facebook alone.

As a digital marketer, you should be aware that each of these multiple social media platforms serves different functions for a business and its KPIs. Their algorithm varies from each other so you should be mindful how to repurpose your contents per platform.

Social media can definitely boost your audience and customer base.

Video Marketing

Marketing funnels continue to evolve. A number of ads are created to attract leads and convert to sales. Thus, you have to find a way to stand out and get more attention versus these other ads.

Video Marketing is proving to become one of the most popular forms of digital marketing. If done correctly, video content creation can boost search engine rankings, website traffic rates, and increase engagement.

Mobilfication

We cannot underestimate the power of mobile phones in today’s marketing strategies. You cannot disregard the fact that almost everyone you see, everywhere, is busy on their mobile phones. Browsing just whatever or communicating with whoever.

That makes anyone with a smartphone is a potential lead for every business like e-commerce. It made everything accessible to everyone. Leads are now just a tap away from making a purchase.

Michael Tasner of Forbes.com stated in his article, “Mobile will continue to be a top priority for marketers for years to come.”

Reviews

Reviews can arguably make or break a company. It is only relevant to consider that customers decide which companies can best serve their needs. Customers scour for feedback, reviews and other factors that may convince them to actually make a purchase.

Reviews also play a very significant role in providing organic traffic thus affecting google rank search and generating more sales.

Cost Saving: How to Streamline Your Business

Cost Saving: How to Streamline Your Business

For every entrepreneur, building a successful business is a continuous process. As it grows, expenses increase. Monthly evaluation and review of the operating system are fundamentals that help business owners know if their expected income minus expenditures will yield a fair profit. These also help you see areas of operation which cost a lot and which can be cut down to reduce monthly spending. Streamlining is a cost-saving strategy which benefits business owners.

Here are effective ways to streamline your business:

Reduce paper trail

Too many paperwork require space to store them. And when it comes to retrieving old clients documents, sorting from through filing cabinets or opening stored boxes in the storage room can be taxing. It is more accessible to a master list in your computer and prints a copy if a need arises. However, it is essential to save files in an external hard drive to avoid future risk of losing data if your computer malfunctions.

Cutting down the usage of paper reduces the cost of buying it and helps sustain the environment.

Automate

Use the power of modern technology to consolidate online operational systems. Buy an integrated software platform that provides accounting, orders fulfillment, inventory and billing invoice generation functions.

Track your daily transactions, revenues and expenditures with online accounting software. The system allows you to control variables that directly affect your net profit.

Pay bills, taxes or transfer funds electronically to lessen transportation expenses.

Power up your online presence

Create a website or an e-commerce store. Getting online is a sure way to introduce your brand globally. Your site allows potential clients to access your business anywhere in the world. Provide an FAQ list to enlighten visitors about your products or services. You can upload images of your products and write blog articles to promote them.

The benefits include increased sale, less amount of time for inventory, reduced lead time, better cash flow and capital savings.

Implement telecommuting

Telecommuting is a highly-effective method of streamlining. By making your workforce go on mobile, you are empowering employees to be more productive. This approach shows your trust and confidence in their ability to do their tasks excellently without supervision. Invest in laptops and personal smartphone to facilitate communication.

The advantages of telecommuting are:

  • Reduced electric, water and landline phone expenses
  • Reduced office space
  • Reduced transportation and travel expenses
  • Improved state of well-being

Use a smart or programmable thermostat

Reduce climate control expenses by using a thermostat. Programmable thermostat customizes the air-conditioning or heating climate control during office hours while the smart thermostat in the other hand gauges the temperature of the office space then automatically adjusts to sustain the coolness of AC or warmness of heater.

Purchase gently-used equipment and furniture

Look for auctions and stores that sell quality, used equipment such as computers, copiers and printers. They also have refurbished laptops and tablets. Check newspaper classified ads section to locate companies selling old furniture. You can buy them at lower prices especially when you buy in bulk.

Be a smart buyer. Always check the quality and condition before paying for them.

Qualities of Excellent Team Player

Qualities of Excellent Team Player

Robust and excellent players are the foundation of any team. When all else decline, these are the people who accept the task with steadfast courage and perseverance. They are devoted to getting the work done. To become one, be an active member and put the team’s goals above yours, take the initiative and get things done. These build a positive approach and develop powerful connections.

But what are the qualities of an excellent team player?

Self Awareness

It means you know your full capacity, strengths and weaknesses. You know how to manage them and apparently see how you can best contribute. You can handle your emotions and give more attention to them. You understand why you do things the way you do and how you perform.

Reliability

Being reliable is an extremely critical skill. It is one of the keys to success in life and at work. You need to show your employers and colleagues that you can be trusted. Be a man of action and accountable for what you say. Having this trait complements a wide variety of job achievement.

Genuineness

Being your authentic self at work will allow you to enjoy what you are doing every day. You’ll be confident in your opinions and the work you deliver. Genuineness builds trust and relationships which lead to work satisfaction.

Flexibility

Flexibility has many advantages. You can easily and quickly adapt to changes and challenging situations. It can expand your opportunities, helps you strike a work/life balance and increases productivity.

Empathy

Empathy is simpler than sympathy. It’s the ability to get involved, relate and understand the experiences and emotions of others. It is the ability to support and accept others with compassion and sensitivity. It plays a significant role in every workplace where co-employees usually deal with breakdown issues, emotional stress and desire to attain excellent outcomes.

Positive Attitude

This helps everyone to finish tasks better and faster. The individual’s accomplishment at work depends on his performance and how good is the relationship he shares with colleagues. A positive attitude motivates a person to overcome obstacles. It reduces stress which has a detrimental effect on health.

Communicator

Communication at work improves employees productivity, increases job satisfaction, reduces the rate of absenteeism, positively impacts the output and smoothens the operations by lowering and diffusing conflicts.

Detail-Oriented

Being a detail-oriented person means you are paying attention to the minutest details. This trait improves efficiency at work, develops clear and effective communication, and minimizes errors.

No matter how skillful you are, the chances of success will not be high if you are not a great team player especially in today’s multidisciplinary world which is far from the culture of an industrial era where people line up to do a single task all day long. Nowadays, most of the jobs involve communicating with others who do not have the same profession. Thus the ability to perform individually and at the same time with co-workers in great synergy is the key to attaining growth and prosperity.

Reasons Why Outsourcing Can Be Good Or Bad For You

Reasons Why Outsourcing Can Be Good Or Bad For You

Outsourcing has become a global trend for quite some time now and is steadily gaining popularity with business owners of all kinds. Choosing to outsource a business is not limited to manufacturing sectors and IT industries anymore. Many small & medium enterprises with brick and mortar stores are also jumping on the bandwagon of offshoring.

However, before you decide to outsource your bread and butter business, consider the pros and cons of this approach to determine if this path to uplevel it is the right choice.

Why Outsourcing Can Be Good For Your Business

Outsourcing has gained popularity because it offers many benefits to business owners as stated below.

You Don’t Need To Hire More Employees

Business owners have more freedom to choose and delegate their workloads to remote employees, freelancers or contractors on an hourly or per project basis. Thus avoiding to hire a local, in-house individual with full-time benefits and training, consequently saving a lot of money and time.

Freedom and Access To A Larger Talent Pool

There are plenty of third-party platforms that you can tap if you want to outsource talented and expert remote workers. Upwork.com, Fiverr.com, Freelancer.com, People per Hour and OnlineJobs.ph are some of the budget-friendly outsourcing platforms out there. While large company owners or corporations prefer partnering with outsourcing companies to achieve their target goals.

Reduced Labor Cost

The prime reason why many large companies down to small business owners choose to outsource their business is the cheap labor costs compared to hiring in-house local individuals who you need to provide with full-time benefits, training, equipment etc. These help them cut down their business recruitment and operational costs. You often get the same quality of work output with less pay because of outsourced experts in that field.

You Help People From Other Parts of The Globe By Hiring Them

Business offshoring has contributed to the world’s economic development and lowers the unemployment rate of the third-world countries. Philippines and India are among the top 5 nations for Foreign Direct Investments like Call Centers and Back Office operations. The industries have alleviated the living conditions of workers residing in these parts of the globe.

Your Business is Open 24/7

Outsourcing your business results in increased sales and productivity because you can operate 24/7 with your teams taking shifts while you are sleeping or getting a break during the weekend.

Why Outsourcing Can Be Bad For Your Business

In any situation, it is practical and wise to weigh the pros and cons before arriving at a decision. So let’s dive deep into these disadvantages of outsourcing which might be bad for your business.

Loss of Managerial Control

If you outsource your business, be prepared to lose management control because you be giving or sharing the authority with another entity to perform the tasks or functions of an entire department. By willingly handing over the reins of management and control, you expose your business to risks like the assumption that your outsourcing partner has the same drive, passion and standards to achieve your goals and mission.
Sometimes, this can break your business.

Communication Issues

Key points summary: The language barrier is a real struggle for your business if you are outsourcing to foreign shores. Make sure to choose efficient, fluent, bilingual workers or outsourcing partner companies.

Foreign countries with English speaking workers have a different time zone. It is one factor to consider in outsourcing especially if you need to communicate at an agreed time to discuss work functions and submission of their deliverables.

What is the medium of communication- phone, email, chat or instant messaging?

Is the outsourcing entity’s internet service provider has reliable connection speed?

Do power outages always occur with your outsourcing company or worker? What backup do they have?

Problems With Quality

Outsourcing can also be tricky with quality and quantity of output or accomplishments. You need to use a time tracker or monitor the progress of a project or task. It may lead to several revisions back and forth until the work is entirely acceptable to you. It is crucial to have a contract for added protection in case of missed deadlines, failed project output or half-baked results.

Confidentiality and Security

Passwords, entry to files and systems as well as strategies for your business’ core operation is your lifeblood to keep it afloat. Be prepared to address the risks and take necessary precautionary measures, and backup them up with conditions stipulated in the contract between you. Non-Disclosure Agreement is definitely a must for protection.

In any business decision, you take risks so better weigh the pros and cons of any strategy including outsourcing a function or your whole operation. Before deciding, always consider the impact it will bring to your company culture like existing operations and the morale of your local workforce because this can be bad or good for your business.