Why do you need to protect your assets?
01.08.2023 | 5 min read
Running a business involves so much more than making a profit. The daily decisions needed to create a sustainable business, and requirements of a business owner in our modern day society can be difficult to manage and understand.
A particularly risky and demanding element of being a business owner, is the need to protect your business. Protecting your team, your future and, significantly, your assets. An unprotected business can impact society, the mental health of employees, owners and have a huge financial impact, to name just a few. Here we focus on asset protection and explore key reasons why you need to protect the assets of your business.
What are the assets of your business?
The term “business assets” refers to something your business owns that delivers or is of value. Assets can be physical, such as machines, buildings, computers and stock, or intangible, such as intellectual property.
The different types of assets a business may own have differing degrees of risk to a business owner.
Rental real estate, commercial property, business assets (such as tools and equipment), and motor vehicles are some of the riskiest assets a business can own, and therefore, need the most protection.
Why is asset protection important?
The goal of asset protection is to prevent or significantly reduce the risk to your business. Many business owners are unaware of all the potential risks that can harm their business and the options available to protect themselves. Here are our top 5 reasons why asset protection is essential for any business owner.
1) Cost efficient
Protecting your assets means that you can financially protect your business. The safer your business is, the lower insurance premiums are, the less risk of having to pay for unexpected costs, such as replenishing stolen stock, and the easier it is to plan for future growth. These are just a few benefits of how effective asset protection can minimise costs and financially improve your business’ cost efficiency.
2) Liabilities
When the protection of assets is compromised, this has a significant impact on how vulnerable you and your company are to claims. Businesses often have multiple stakeholders and shareholders, all of which can be impacted by or make claims against your business. Unprotected assets increase the likelihood that you will be exposed to claims against your business that you will be liable for. For instance, in the event of theft of stock, you will be liable for any claims made due to the missing assets. The more your stock, i.e. assets, are protected, the less risk to claims against you and your business.
3) Health and Safety
Some business assets need to be protected, not just for the benefit of the business, but because they may compromise the health and safety of others, e.g. medical supplies. Theft in a pharmaceutical warehouse, would not only greatly impact the business owner, but have an impact on the local community and society. This is also often the case for heavy machinery and equipment.
4) Risk Assessment
Protecting your business assets aids existing and future risk assessments. This has a direct impact on insurances, funding, growth and more.
5) Legacy
Protect the future of your business and its ability to survive, by protecting your asset. The more your protect your business assets, the more sustainable your business is. Create a future for your business by protecting what you have today.
How can you protect your business assets?
How to protect your assets will depend largely on what your business assets are. For example, digital assets would require different protection compared to assets stored in a UK warehouse.
We believe that the key way to protect business assets is to ensure you have a unified security system in place. One that is cost efficient, reduces risks, improves the health and safety of your business and keeps the future of your business in mind.
Many are looking to use drone technology as a method of protecting their business assets, especially in instances where warehouses store physical stock and assets. You can find out more about how drones are the future of warehouse security here.
Are your business assets protected?
Now that you know how to protect your business assets, you need to consider if the policies and operations you have in place offer the protection needed to reduce risk to your company. Creating a unified approach to your asset-protection plan is essential; ensuring your business assets are protected within the framework of your business operations.
A significantly crucial way to protect your business is via security. Sorair designs autonomous systems that make security procedures more resilient, efficient and secure; Bringing military-grade security to companies of all sizes. Discover our unified asset protection solution here.