Small business owners have a lot on their plates, and often, the environment isn’t particularly high on the priority list. However, entrepreneurs may begin to pay more mind to their ecological surroundings after recent research indicates many small businesses are unprepared to weather the storm, which can put their cash flow at risk as economic and environmental losses pile up.
Many aware of potential for environmental risk, yet don’t address it
Even though Superstorm Sandy pounded the East Coast, and tornadoes have recently resulted in tragedy in Oklahoma, small businesses owners have been unswayed to prepare for natural disasters. According to a recent Staples survey, 60 percent of small business owners have not reassessed their safety plans.
As it stands, less than half of small businesses reported they are prepared to cope with emergencies, and 38 percent don’t have safety training or drill policies in place.
Equipment leasing can help businesses shore up their safeguards, as the survey noted medium-sized businesses possessed an array of safety equipment to contend with natural disasters.
US hit hard by disaster costs
For unprepared small business owners, the risks of environmental disasters are potentially even more devastating – especially when it comes to the bottom line.
According to the Worldwatch Institute, there were 905 natural catastrophes worldwide in 2012, costing global businesses an estimated $170 billion. And while more disasters occurred in Asia (36 percent) than they did in the United States (26 percent), Americans felt the brunt of the economic hardship: American economic losses related to natural disasters totaled 69 percent of worldwide losses.
Environmental concerns pose a serious threat to small business finances. Owners seeking to protect their business from ecological harm can consult with National Funding on equipment leasing options, while others can help maintain steady cash flow through easy access to working capital.