Equipment Leasing Can Be Part of Disaster Preparedness
A new small business study shined a light on disaster preparedness, something business equipment leasing can easily be a part of.
According to the latest Small Business Index from Office Depot, Inc., only half of small- to medium-sized businesses (SMBs) believe they are prepared to handle a natural disaster, such as a hurricane, tornado, flood, forest fire, landslide or earthquake. However, approximately 70 percent of these businesses do not actually have a disaster plan in place.
“As we enter the busiest period of hurricane season, now is the time for small businesses across the country to ensure they have an emergency response plan in place or review existing preparedness measures,” Gerald McSwiggan, disaster manager for the business civic leadership center of the U.S. Chamber of Commerce, said in a recent press release. “From battery backup for your desktops and printers to data storage drives, proactive response materials make sure SMBs are properly equipped and ready to weather any storm. We want to make disaster preparedness simple and accessible for all business owners.”
However, for many small businesses, weather is the least of their concerns. Disasters can come in many forms, and all too often, they take the shape of financial trouble. This is something business owners are very aware of. In fact, 38 percent of small business owners ranked “uncertainty over economic conditions” as the second most severe problem facing businesses, according to the latest National Federation of Independent Business Small Business Problems & Priorities report.
“The most recent recession proved to be anything but typical and its recovery is following a similar fate,” the report stated.
In short, plenty of small business owners know that creating a disaster preparedness plan goes beyond preparations for Mother Nature.
Making equipment leasing part of the plan
For a business to withstand financial calamity, it’s important for it to have cash reserves on hand that can be used to keep operations running smoothly even in the face of sudden changes. Commercial equipment leasing allows businesses to save on the purchase of vital equipment, thereby keeping cash reserves higher.
Additionally, while small business owners should make proper insurance coverage a part of their financial safety net, this isn’t always the case. If natural disaster does strike, there’s a chance equipment will be damaged or destroyed, leaving businesses unable to operate. In these instances too, equipment leasing can be the ideal solution to keep businesses running without depleting cash reserves.