Protecting Retail Assets In The Midst of Uncertainty

Recent events saw the sudden closures of retail businesses around Canada. Businesses are doing right by the public by scaling back hours or closing for the meantime, says Dan Kelly of the Canadian Federation of Independent Businesses. Now the question seems to be, how are these businesses supposed to survive, and what can their owners do to protect them?

Enact A Contingency Plan

Businesses — especially retail businesses — need to have a contingency plan for emergency situations like natural disasters or pandemics. Having an emergency plan can help secure business assets since there will be protocols in place to be followed. In the midst of a biohazard event, the absenteeism rate of 20-25% is expected, according to The Public Health Agency of Canada. An emergency plan will equip business owners to oversee their physical assets in order to contain and disinfect them appropriately. It also provides a better chance for retailers to come back after the emergency situation has passed.

Tap Into Refinancing

A retail business can only survive if profits are not hampered and distributed to proper channels appropriately. In the event that a retail business’s finances are stilled due to an emergency, mortgage refinancing is an option for brick and mortar assets, according to the Business Development Bank of Canada. What business owners need to do is browse and partner up with the best refinance companies in their areas. A business owner aware of their financing options will always have a backup so they can sufficiently protect their assets as they move forward. 

Consider Skeleton Operations

In the event that the complete shutdown of the business is not feasible, retailers can look after their assets by running a skeleton operation. For example, the City of Toronto allowed retailers to do after-hour deliveries in order to help both consumers and businesses alike. While allowed to operate, business owners run a skeleton crew in order to minimize contagion, save on additional costs from disinfection, and keep profits going. It is an effective measure to ensure that retail businesses continue despite emergencies. 

Business Insurance

Roughly 66.6% of all retail jobs are full-time jobs, according to the Retail Council of Canada. As such, emergencies can be particularly detrimental to retail employees and employers. A retail business owner can safeguard their assets by having suitable insurance to help cover their expenses. Worker’s compensation insurance helps protect the business by ensuring that the owner does not come out of pocket for any illnesses or accidents that employees get into while at work. If the location of the business experiences any damages during an emergency event, business insurance can cover the costs of repairs. 

The longevity and strength of a business are often measured by its capacity to spring back to life after a period of uncertainty. While current times are trying, there are always measures to be taken to safeguard retail enterprises. Only time will be able to tell how effective certain measures will be, but the Canadian government — along with business owners — remains positive that retail businesses can be fully protected at this time.