#200: Your Business Emergency Plan

Joshua and Amelie share their thoughts on what should go into a business emergency plan. As a section in your business plan, the emergency plan is there to guide you whenever there is any kind of action that causes a disruption to your normal business operations, from natural disasters that displace you for weeks or months to power outages that last just a few hours. Top takeaways: A written emergency plan shows that you care about serving your clients.  The SEC requires a disaster recovery plan for Registered Investment Advisors (RIAs). Sections to include in your emergency plan include:  Office Space - including short term and long term plans Equipment - including your computer and phone Regulatory - including liability and access to client data Third party vendors - including key contacts at each Employees - emergency recovery plan for employees Critical contact list - contact information for clients in the case of an emergency A small battery back up system for your computer combined with the plan to use your phone as a hotspot are simple starting points. Having suitable alternative office spaces readily available will help when an actual emergency happens. A password management system can help give you access to your important websites, passwords and third party vendors. Include software security for any new or alternative equipment in the appropriate section. Make a paper copy of your business recovery plan for easy access. Notify clients of an emergency or change to your business only when they’re impacted (e.g., upcoming meetings you may miss). Documentation of your plan is important, but you can start with big picture steps and refine it over time. You can contact an RIA compliance consultant for a template.