Disaster Can Strike At Any Time

"It Won't Happen To Me."
This past Fall and Winter has proven that Mother Nature can unleash her fury with multiple hurricanes, record rainfall and low temperatures, and in places that aren't used to taking a beating.

But human error can cause plenty of devastation on its own as well. Floods, fires, and a loss of electrical power potentially could destroy a retail shop as well.

"The biggest threat for us is hurricanes and loss of power," says Rick Straub, the general manager of Fish, Fish, Fish located in Palisades Park, N.J. "Ice storms can also be a problem, but fortunately you can be warned in most cases."

Laura "Peach" Reid, the president and co-owner of Fish Mart, Inc., knows first hand what can happen in the event of a natural disaster. In 1985, Fish Mart, located in West Haven, Conn., was the victim of a hurricane. "We were at a location where we couldn't get any power for five days," Reid says.

"We lost a lot of inventory and a weeks worth of business, but somehow we overcame," Reid says. A few years later they moved to a location where they were able to run their entire shop on a generator if necessary.

"I know stores that have had fires and it can be completely devastating," Reid says.

Many fires can be prevented if you hire an electrician to evaluate your wiring, says Mort Brown, the co-owner of Cindi's Pet & Aquarium Center, located in Vero Beach, Fla.

However, if you are located in a strip mall, a fire may originate in another store and spread rapidly to your location. Brown recommends fire alarm systems be hooked-up to the fire department for a faster response.

Even if the flames don't penetrate your shop, the smoke may still have a powerful effect on the oxygen levels, or you may experience water damage.

"In the case of fire, the worst thing is smoke damage," Straub says. "You can cover tanks with paper towels to help minimize damage."
-S.S & A.S.

(Published April 2005)

Disaster Can Strike At Any Time
Tips to Help Prepare and Survive
By Scott and Ann Springer

Mother Nature or human error could wreak havoc in your local area and destroy your business, but there are things you can do to prepare and limit the amount of damage that potentially can occur.

Some retailers may think that if they are in the path of a hurricane or some other major disaster there is nothing they can do, but that is not the case.

Prepare Now
"An emergency generator is the first thing I recommend someone has," says Rick Straub, the general manager of Fish, Fish, Fish located in Palisades Park, N.J.

You should have a generator in place and know how to operate it long before you are need of it because a generator may be hard to find after disaster hits an area. "We exercise our generator once a week, for a half hour, to make sure it's in top shape."

Generators come in a variety of sizes and you should consult an electrician to help you identify what your needs are, how to hook-up the generator, and how to use it in an emergency, says Laura "Peach" Reid, the president and co-owner of Fish Mart, Inc. located in West Haven, Conn.

"You should have instructions written up and put in place so it will be ready to go when you need it," Reid says.

Reid also recommends selling small generators to customers for their home aquariums. "When an emergency strikes it's almost too late because there are only ‘x' amounts of generators out there and they will go quickly," Reid says.

Stocking up on extra water may also be helpful because it also could be in high demand during an emergency, Straub says. "I would recommend you stock up as much as you can."

Having products on hand to help oxygenate the water – like hydrogen peroxide and oxygen pellets – can help you keep fish alive longer too. "You can drip hydrogen peroxide to help oxygenate the water," Straub says.

In some situations, retailers may know in advance that they are in the path of a hurricane or some other disaster, and may have time to move livestock out of the danger zone to minimize losses. "Make sure your tanks aren't overcrowded," Straub says.

"For example, if a hurricane is going to hit the East Coast, a supplier may get in touch with customers on the West Coast to ask if you can transport some inventory to them," Straub says. "Fish clubs and hobbyists may also be able to help you out too."

While some retailers may never have to worry about tornadoes or hurricanes, all retailers may be subjected to a power outage at some time. "We all take electricity for granted and are very dependent on it," Reid says.

Extended blackouts can cause temperature issues inside the store as well as problems running tanks. "We have gas space heaters that can help keep things from freezing," says Bill Sorrell, the owner of Fish Peddler Pets, located in Pinson, Ala.

Fish are the most difficult to transport quickly, but other livestock in the store should be protected as well. "The furry animals will take care of themselves; they just need food and water," Sorrell says. "The birds need to stay warm because the chill will kill them."

You can also have an animal evacuation plan set up in advance. You can have store employees and regular customers designated in advance to take care of animals temporarily in the event of an emergency.

Building up a healthy savings account can also help you survive a devastating loss. "It's a cushion to fall back on whether it's a natural disaster or even just slow business in the aftermath of a disaster," Reid says.

In a hard hit area, business may be slow for weeks while your customers recover their own property losses. Their pets may not be the first thing on their mind if they have lost their home.

Emergency lighting, while not as necessary as a generator, may be helpful in the event of a blackout, Reid says. This should also be tested periodically to be sure it is working properly.

As you set up your disaster plan, you may want to contact the local fire department to know what they recommend you do and to let them know what your plans are, Reid says.

You may also include a local animal shelter in your plan to have them temporarily take in some of your livestock if necessary, Reid says.

Insurance Smarts
An ounce of prevention is worth a pound of cure. And in Sorrell's case it is well worth it for him to have a healthy amount of insurance.

"If I am down two or three weeks, I could lose $20,000 to $30,000, but a standard policy in this area costs as little as $140 a month," Sorrell says.

You may choose to pass on investing in a generator, but an insurance policy is a must for business owners, Sorrell says. "You have to have it if you are going to be in business for yourself."

Sorrell advises that you choose a reputable insurance company and be sure you always pay your insurance premiums on-time to ensure the validity of your policy. "You never know when you will need it," Sorrell says. "You need to make sure your policy is always in effect."

Evaluating your insurance policy is an important part of you emergency preparation, Reid says.

"You have no idea what is covered until after the fact," says Mort Brown, co-owner of Cindi's Pet & Aquarium Center in Vero Beach, Fla.

He recommends you fully understand your coverage, your deductible, and your lease – if you don't own the building you are located in. It is imperative that you know where your responsibility ends and someone else's starts, Brown says.

"You have to have a plan and a good insurance policy in case all else fails," Sorrell says.

Sorrell recommends having a policy that includes a loss of income clause. "Then you will have income coming in while you wait for new equipment," Sorrell says. "They will pay you what you would normally be making per week."

Brown also recommends that you look into working with an insurance adjuster to represent you if your state allows. Adjusters are paid a percentage of the claim that you receive from your insurance company.

Adjusters work for you while agents work for the insurance companies, Brown says. It may be "The best investment that you make," Brown says.

In the event of a hurricane or a large disaster, there may be additional recovery funds from government agencies available for small businesses. "After the hurricane, there was money available, but you had to find out for yourself where it was and how to get it," Brown says.

For Brown it was worth it to fill out the mounds of paperwork because it gave him the upper hand over his insurance company. "I can negotiate with my insurance because of it," Brown says.