Business Assets: How to Safeguard Your Livelihood

While other aspects of a business are important, much of a company’s values rests in its assets. If you want your business to survive now and in the future, you need to do what you can to protect those assets. Having a few ways to protect your business assets and insure your livelihood is always a good idea.

Purchase Adequate Business Insurance

One of the most important things you can do to protect your company’s assets is purchase the appropriate business insurance. Investigate different policies that match your company’s needs. If you keep a lot of products or supplies in a warehouse, you certainly need insurance to protect against a loss if that building goes up in flames, for example. Insurance can also protect your monetary assets as well. Litigation insurance, for example, can protect your company if you’re sued someday.  Making sure you have appropriate representation will help make this sort of thing much easier to navigate.

Fight Employee Theft

This isn’t something you want to automatically suspect your workers of, but employee theft is far too often a practice that can really hurt the bottom line of a company. Even theft of inexpensive items can quickly add up to a significant amount over time. Take steps to fight employee theft, including: specifying that it is not allowed in the employee handbook and supplement by using camera surveillance to detect it if you feel it is needed.

If you find that one of your employees is stealing, don’t be afraid to go to an attorney to discuss your options. However, lawyers know that this type of behavior is often out of character for the person charged and many times has to do with personal problems.  Knowing the appropriate course of action to take is always beneficial. After all, this is your livelihood, and you need to watch out for every aspect of it.

Choose the Correct Organization Type

How you choose to form your business can also determine whether or not your assets remain protected under certain circumstances. There are many choices that can help protect assets such as C corporations, limited liability companies, S corporations, and more. These kinds of business structures separate the assets of the business from the assets of the individual owners, shareholders, officers, etc. This is not the case in a sole proprietorship. Business creditors can go after a sole proprietor’s personal assets in addition to the assets directly related to the business.

Perform Proper Inventory Control

Shrinkage of assets stored in warehouses is a significant expense for many companies. Part of that shrinkage is simply the result of mismanagement. While something may have been stored in a warehouse, finding it again isn’t always so easy. This is why it’s important to have modern inventory control systems in place to make sure you know where your stock is located at all times.

Overall, one of the most important components of any healthy company is its assets. Make sure you take steps to protect all your assets. This will benefit your company both in the short term as well as the long term.

Author: Rachelle Wilber is a freelance writer living in the San Diego, California area. She graduated from San Diego State University with her Bachelor’s Degree in Journalism and Media Studies. She tries to find an interest in all topics and themes, which prompts her writing. When she isn’t on her porch writing in the sun, you can find her shopping, at the beach, or at the gym. Rachelle recommends Vancouver defence lawyers for more information about protecting your business. Follow her on twitter and facebook: @RachelleWilber; https://www.facebook.com/profile.php?id=100009221637700