Fires in California Blaze Through Small Businesses

Recovering in the Wake of Natural Disaster …And What You Can Do Now to Prepare Before a Natural Disaster Hits Your Business

Again, recently, residents were forced to flee their hometowns in an attempt to run from wildfires in California.  The fires are have charred more than 76 square miles over the past two weeks taking homes, lives and businesses.  Fire crews have been working around the clock to settle the fires and prevent their spread, but some homes could not be saved.  If you are a home-based business owner, that not only means your bed and photos have been destroyed, but you also now do not have a place of business.  What can you do now?  And if your business has been spared, what can you do to protect it from natural disaster in the future?

Recovering

If your business has been significantly affected by a natural disaster, you may be eligible for Federal government dollars from the U.S. Small Business Administration.  The SBA considers a small business qualified if you have “suffered substantial economic injury,” regardless of physical damage.  If your place of business is within an area declared as a disaster area, you are most likely eligible. Check with the SBA to see if you may be eligible.

If farmland has been destroyed by the disaster, special assistance is available through the USDA’s Farm Service Agency.

The Federal Emergency Management Agency (FEMA, a part of the Department of Homeland Security) offers many resources when a business has been hit by disaster.  FEMA currently offers flood insurance for businesses in light of the terrible flooding we have seen in recent years.  These disasters also sparked the development of the Emergency Management Guide for Business & Industry which includes a list of state and local Emergency Management Offices to contact for additional local assistance.  The guide; however, is mostly targeted towards preparing for emergencies.

What About the Things That Were Lost?

The IRS has pulled together a Disaster Losses Kit for Businesses which provides help for a variety of natural disasters including floods, fires, tornadoes, blizzards, and hurricanes.  This kit is your guide to claiming losses and obtaining copies of previous filed forms.  The IRS can recover and provide copies or transcripts of previously filed tax returns free of charge.

Emergency Preparedness

As we all know, hind site is 20/20, and if we can prepare for emergencies before they occur, we will all be better off.  The Small Business Administration and Department of Homeland Security offer the most robust resources for small business owners in preparing for an emergency.  Ready.gov/business is an excellent guide to help business owners “prepare to stay in business” and protect investments.

Top Government Emergency Preparation Guides for Businesses

• Ready.gov (DHS)
• IRS
• FEMA (DHS)
• SBA