Don’t forget about these serious commercial risks.
As a business owner, you know that you are subject to certain risks. While you might have taken steps to prevent theft, employee injuries, and other obvious risks, there may be other dangers that you are overlooking. If you want to safeguard your company, then you can’t afford to forget about these threats.
- Copyright Infringement
The idea of copyright infringement doesn’t even pass through the mind of the average business owner. However, this threat can have devastating consequences for your small business. If an employee or contractor working for your company uses copyrighted work in business material, then your company can be held liable for infringement. This opens up the possibility of a major lawsuit and settlement, which will cost your business time and money. If you do not want to leave your business vulnerable to this risk, then make sure you implement company guidelines for sourcing visual materials. Additionally, having commercial property and liability insurance will also protect you from the costs associated with a copyright lawsuit.
- Ownership Disputes
Another common problem that small businesses face is ownership disputes. Oftentimes, this happens when a company is owned by more than one person, and the owners disagree about the direction of the company, compensation, or so on. When an agreement cannot be reached, these disputes can lead to drawn-out lawsuits that end up wasting precious time and capital. To prevent this risk from tearing up your company, make sure that you and your business’s co-owners have ownership and management distribution discussions and be sure to document everything.
These are some of the risks that business owners often overlook. Want to protect your business from all the threats that it faces? Then secure the right commercial insurance. For assistance with your business insurance, contact the experts at Phocus Insurance in Phoenix, Arizona, today.
