Starting a business takes a lot of work, but it also takes a lot of research as well. In order to cover all of your bases, you are going to need to familiarize yourself with what they are. No matter what kind of business you are looking to start, you are going to need insurance and you are going to need to look into what measures need to be taken so that your business is a legitimate one.
Hiring an Agent with the Wrong Experience
No matter what, it is always wise to get an insurance agent. This way, you can have someone guide you through the hoops you’ll need to clear before you can rest easy. If you are starting a farm, ranch, or an equine business, you will want to find an agent that has experience specific to your enterprise. “Business insurance” is an umbrella term; different things apply to different kinds of business. Running a horse farm is very different from running a fast food joint. You will need to understand all of the legal issues and concerns that will affect you in your field of operations. In order to make sure that you are doing everything right, you will need an expert with some experience by your side to guide you throughout your journey.
Failing to Recognize Your Business Risk
This is why having an experienced and knowledgeable agent is so essential. If you do not apply for an insurance policy that covers the things that you need covered, you are likely building yourself up for disaster. Insurance is meant to cover the costs of a lot of things, and not being covered for something could cost you your business.
Not Keeping Up with the Right Documents
As a business owner, you will need to acquire various permits and licences depending on what you produce and what services you offer. These documents should be up to date and renewed on a regular basis. Not keeping tabs on such documents can cause serious trouble and your business may be shut down as a result.
Not Having a Safety System in Place
Farming and ranching can be dangerous work. The manual labor involved is often strenuous, demanding and involves a lot of heavy and/or dangerous equipment if not handled properly. Having a safety system involved and making sure that equipment is used the way that it is intended to can help minimize risks and will help keep your workers safe.
Not Having a Business Plan
A business plan is essential to every enterprise, no matter how small. Even if you cannot conceive yourself possibly predicting the future of your business, writing out a general plan of action is still crucial. Even if it is more a set of guidelines than word-for-word predictions regarding the future of your business, having a plan is important to have – especially in the event of an emergency, a change in the market, or a bad season.
A business plan is supposed to be comprised of your business goals, how you plan on making money, how you plan on paying for equipment, how you plan on handling legal issues, but it should also include how you plan on adjusting your mode of operations should things not go according to plan. This can be incredibly helpful if something happens and you do end up needing to use your insurance to cover something. It can also help you make sure that you are getting all of the coverage that you need. Refer to your business plan before purchasing insurance in order to get a better idea of what exactly you may need covered.
If you ever have any questions regarding your insurance policy or what kind of policy you might need, our experts here at Dempsey, Weiss & Associates are here to help. We offer exclusive packages tailored to meet the needs of farmers and horse businesses. Reach out and ask us about what you need and what you qualify for today.