The tech industry has witnessed a phenomenal growth in recent years, and the development and further reliance on technology are only going to allow this to continue. For instance, advanced manufacturing and robotics start-ups saw growth rates of 189.4% by the end of 2018. While blockchain and agricultural tech businesses are also seeing an increase in profit, mainly due to the increase in demand for tech solutions. With so much competition and promise in the industry, fledgling businesses are conscious that, in the early stages, anything can derail progress. This is why it’s more important than ever to follow steps to keep your company safe while growing. Here are two main ways this can be done.
Make Sure You’re Insured
Companies often have to put out small fires that most businesses have to deal with. But, just one of these seemingly insignificant setbacks can suddenly overwhelm a business, and this is usually when it’s important to have the correct insurance in place. What could be an easily modifiable issue can become an insurmountable problem if companies are proven to be too trigger-happy to launch without ensuring they were fully protected.
Something as simple as ensuring you have general liability insurance can help cover damages for third parties that your business could be liable for. So, this protects the business should anything happen, but you still need internal insurance to protect yourself and employees from any negative financial impact should also be ascertained. Tech businesses may need to expand on their insurances in another manner through trademarks and patents, especially for anything completely new to the market. It’s important to keep the intellectual property protected and to prevent any IP theft, which can be difficult to recoup.
Protect Data at All Costs
Data gaffes, such as Facebook’s – which has even been taken as far as the House of Representatives – can leave a bad taste in the mouth of any business and can ruin new ventures before they get going. Ensuring you are familiar with data legislation for the USA (and GDPR if doing business with anyone based in the EU) means you are forearmed about any potential data breaches. Personal information is a huge currency for businesses and, while it can show trustworthiness when a company shows they are able to protect it, any leaking of information can be damaging for a business. This can be doubly damaging for tech businesses, who should show expertise in the field of digital data.
In fact, 78% of consumers claimed they would stop engaging with a brand that exhibited bad data practices. New businesses in the tech field often store almost all relevant aspects of their business online or in the cloud. Cyber-attacks could potentially leak important and private information and data and, in turn, cause your entire business to collapse. The simple solution for this is to ensure you have the best online protection, encryption, and storage software to deal with sensitive information customers and employees input online.
Many people entrust a lot to tech related businesses, especially when handling new technology that isn’t fully understood by the general public. To then make a mistake with something your business professes to be an expert in could lead to a spoiled reputation, image, and customer abandonment. Ensure that your tech business is safe while growing by protecting yourself legally with insurance and protecting your vital digital assets.