As a new business owner, the last thing you want is the loss of your property or legal battles against it. A new business needs insurance because it helps cover the costs associated with property damage and liability claims. Without business insurance, business owners may have to pay out-of-pocket for costly damages and legal claims against their company.
A youthful Thomas narrates how he vividly remembers every detail of his first intended small business, a bunny-chow stand at his family’s house. The excitement! Reality seemed dreamy and dreams had just started coming true. Finally, the road to financial freedom had found its way to his feet. Financial projections screamed profit! To put the icing on the cake, all capital employed was solely from Thomas’ 2 years’ savings. Why not? It was about time savings graduated to investments. A deep stare at the acquired production assets, serving stands, marquee, raw materials, packaging and other expenditures birthed a proud young boy who was about to relieve the dearth in his family.
To this day Thomas says his body aches when asked to recall the morning of his intended first day of business. Being woken up by a large scream from his sister in the kitchen and instinctively running there to investigate what was wrong. In his mind, two fears grew rapidly whilst on his way there at a speed that would have made Usain Bolt jealous. The one thought was that his “sister’s life” might be in danger and the other was “his life” was in danger. “His life”, of course, were all newly acquired business equipment and raw materials. “You must have seen my face when I found my sister all well but in shock because “My life” was missing”, narrates a seemingly distraught Thomas. Burglars had forced themselves into his family house and stole literally all the business equipment and raw materials.
Thomas could not believe what had befallen him. Standing there, he was asking himself how he was ever going to recover the investment? Did this mean he has to save for another two years, again? What about his siblings’ tuition? The neighbour he had offered employment, what will he tell her? Questions without answers flooded his mind till a 9-year-old girl standing by quizzed rather condescendingly, “are you telling me that with all these insurance ads always on the television you did not buy any or at least think of a getting quote?”
So, it did take more months before he could officially open his business. This time he did not take any chances and contacted an old buddy of his, Khaya, down at a local financial services provider, Ayoba Insurance Brokers. Khaya enlightened Thomas on the risks he is susceptible to, advised, recommended and offered guidance on how best to address them. Furthermore, this friendly chap presented several products for Thomas’ consideration from the sixteen insurers Ayoba Insurance Brokers can place any type of insurance with. He also helped find insurance for Thomas’ personal stuff.
Below is a brief summary of some of the products recommended to Thomas as a new business owner: –
- Liability Insurance – to help pay for lawsuits that claim your business, employees, services or products caused bodily injury or property damage to other unrelated parties
- Property insurance – protects the physical goods and the equipment of the business. This includes but is not limited to vehicles, buildings, plant and machinery amongst others
- Business interruption insurance – replaces income lost in the event that your business operations are halted for some reason, such as a fire or a natural disaster
- Other Special type insurance – insurance for your money, accounts receivable, employee dishonesty, goods whilst in transit by road, sea, air or any mode
For a quote, contact us on +27 11 395 1631 or email us at nick@ayobainsurance.co.za / natalie@ayobainsurance.co.za
Alternatively, you can follow the link http://ayobainsurance.co.za/detailed-quote/
The information and content contained herein do not constitute a recommendation or solicitation to purchase or sell any financial product or service or arrive at a financial decision, nor do the contents of this publication constitute any form of advice or guidance.