Contingency planning … is hugely important in your small business plan! Failing to plan for “known unknowns” could be ultimately catastrophic for your business. The known unknowns are things that you are aware of that could or may happen in your business, for which you need to be prepared. One of the best things you can ask yourself is, “What is the worst thing that could happen to my business?” Asking this question will help you explore the possible things for which you can then prioritize, and plan for in advance. Doing so will potentially help you mitigate devastating disasters to your business.
This situation recently occurred with one of our professional colleagues. The CRM system used by the business was hacked, in an attempt to retrieve valuable customer data. Since the business owner had planned in advance, the server had been configured to shut down in the event of such an attack. Additionally, the business owner had also implemented a regular backup system of the data on the server. In just a few hours, he was able to be back up and running – after easily implementing his contingency plan. Had the business owner not prepared in advance, an event of this magnitude could have easily devastated the business.
So, what’s the worst thing that could happen to your business? And … are you prepared?