A recent Forbes article reported that roughly 550,000 small businesses are starting every year in the United States, with 52% of all small businesses being home-based. That is a lot of smart entrepreneurs taking advantage of the home they live in. Business Insurance in Tulsa OK, is an absolutely essential component of managing a business, but business insurance varies wildly from one business to the other.
A company dealing with sales of products may only need product liability insurance. Small businesses without any employees can opt completely out of worker’s compensation. Home-based businesses are in a peculiar position. They can generally avoid many of the various business insurance types, but they must have home-based coverage. Commercial property insurance will not cover anything involving a home-based business. There are homeowner policies that incorporate a business, but they are not as thorough or direct as Business Insurance in Tulsa OK.
What needs to be covered in the home is the equipment and the inventory. If a home burned, the homeowner’s policy would not account for either of these additions. These physical assets would be lost to the fire. Any other auxiliary aspects to the business may also not be accounted for. This could include lost wages and other aspects involved in a business that are not physical.
Traditionally, small business owners would buy a home-based policy. It is a large policy that will incorporate anything involved in the business. But, for many business owners, it could be excessive. For example, the business owner may only provide freelance consulting. They do not need any physical product coverage or coverage for their inventory. Furthermore, they may only have a laptop for the consulting. They are not printing forms or setting up large meetings with a phone directory. They may not need the additional home-based coverage because the business is small and only focused on consulting.
The opposite is true for a business that incorporates multiple rooms in the house, has stored inventory that is expensive or easily degraded, or generally runs large margins. Home-based business owners can click here to get more info on establishing a new residential policy for their prospering business enterprise.
