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'Within a few weeks of joining we'd taken advantage of FSB’s Online Legal Documents. We started a graduate programme and access to these documents gave us an understanding of the legal side, and has helped us to create a number of processes and procedures.'
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We offer three packages to suit your business needs. Joining FSB Connect is free, our Business Essentials package starts at £172.50 in the first year and our specialist Business Creation package has a fixed price of £129.
Having a good business continuity plan for your company isn’t just about having the right processes in place to keep it up and running in the event of an incident. It’s also about making sure its implementation will be cost-effective, so it doesn’t impact heavily on your finances.
It’s therefore important to be aware of business continuity planning costs. We’ve already looked at the initial preparation and planning costs, in our blog, How much does a business continuity plan cost to put together? Now we look at how much it costs to implement a business continuity plan and the different costs to keep in mind.
It’s first important to mention that it’s difficult to determine how much it actually costs to implement a business continuity plan. This is because costs can differ across each business, depending on what it needs to function effectively. For instance, a manufacturer could need access to particular machinery and equipment. So their continuity plan might be costlier to implement than an accountancy, which will need to replace standard computers and laptops.
Different incidents and disasters can also cause different scales of impact. For instance, a storm may cause damage to part of a business, like a warehouse, while the rest of the company could still function. Whereas a fire might destroy a whole office building, so a new base would be needed for that company to operate. To determine the costs of implementing a business continuity plan, it’s therefore best to look at the different areas where you might need to spend money. This includes premises, equipment, suppliers and maintaining business.
Paying for suitable premises to operate your business from after an incident can be a major cost of business continuity. Depending on your company, you’ll require a certain size, standard and location. For instance, you might need space to fit certain equipment or require good road access to distribute your products. Or, if you’re a retailer, the location should be safe and suitable for your customers to access.
Costs can also differ if you decide to rent or buy, such as if an incident means you can’t return to your previous premises. Alternatively, if an incident has caused part damage to your company, you might only need to rent some portakabins. You and your team could work from these as repairs to the damaged building take place.
There is also the cost of moving into your chosen location, such as paying for a removals service to deliver your furniture and equipment. The time to set up the office, collate documents you’ve stored away, carry out risk assessments, and ensure power is connected, up and running, can also impact on costs.
Depending on an incident and the processes you’ve set up in your business continuity plan, you might need to buy or rent furniture. This could include desks and chairs for your team to work effectively, which could have an impact on costs. However, you might plan to have your team temporarily work from home, or decide to operate your company from your home or a conference centre, for instance. In these cases, furniture might not be necessary and should be already available.
You’re also likely to need essential equipment and devices, such as mobile phones and laptops, so you can maintain good communication with your clients and customers. If you have stored away spare items like these, as part of your plan, this should also lower your business continuity costs.
If you’re a high-street retailer, you might need to quickly replace stock or materials. This might mean you have to pay your supplier extra to replace and deliver items, or find an additional supplier that can do this for you instead.
There also staff expenses to consider, such as if a new location for your business means your sales team will need to travel further afield than previously to visit key clients. It’s a good idea to have a plan of action that helps limit unnecessary travel to save on such costs.
If you have purchased the right insurance, your costs of implementing a business continuity plan are likely to be lower. For instance, your policy cover might allow you to replace damaged equipment or repair damaged property. It might also cover you for business disruption, allowing you to claim back any loss of earnings.
There will still be costs to pay in order to win a claim, depending on your policy. However, the costs should be smaller than outright repair or replacement costs, for instance. You can read more about cover policy fees in our blog, How much does business insurance cost?
Being in a position to implement a business continuity plan, which is strong, reliable and cost-effective, is crucial if an incident occurs that disrupts your company. It allows you to get your business back up and running as quickly and smoothly as possible, without impacting too heavily on your finances.
With our expert services in business continuity, we can provide you with what you need to implement an effective continuity plan, giving you peace of mind that your company can stay safe and protected. The membership service includes:
If you would like to learn more about this service and how it can help you, please visit our FSB Business continuity page. Business continuity is included as standard with FSB Business Essentials membership. Please take a look at our package comparison page to find out about the benefits of this and our other packages.
National Federation of Self Employed & Small Businesses LimitedSir Frank Whittle Way / Blackpool / FY4 2FE. National Federation of Self Employed & Small Businesses Limited (FSB) is registered in England, number 1263540