Business Insurance Archives

What Insurance do you need for a small business?

Posted on 14th May 202126th May 2021 by Nova Blogger

Thinking about insurance may not be one of the most exciting things to do, but it is unfortunately necessary if you want to have a worry-free life. Understanding what kind of small business insurance you need for your business can seem like a daunting task, but if you break it down, it is actually quite logical. If you have a small business, you are legally required to have EL (employer’s liability insurance), which covers you should any of your employees suffer an illness or injury while working for you. In addition to EL, there are some other insurance policies that you should consider as a small business:

1) Contents and portable equipment insurance.

Do you use specialist equipment for your business? Or perhaps you have offices where you keep expensive equipment, such as servers, computers and printers? Protecting these expensive assets with an insurance policy is never a bad idea as you will be protected against a number of scenarios (eg. fire, a burst water pipe, etc). You might also carry a lot of stock on your premises and insuring them against theft and damage could save you in a big way in the future!

2) Public liability insurance.

Any small business should consider their need for public liability insurance. This kind of insurance will cover you in the event that you are taken to court as a result of a business activity which has caused damage or injury to another person or their property. At the end of the day, no matter how hard we try to be perfect in our business dealings, we are all human and mistakes can easily happen at any time. Your legal costs will be covered, as well as any compensation you need to pay to the injured party. Bear in mind that some large companies will only (understandably) award contracts to small businesses that are covered by public liability insurance.

3) Cyber Insurance.

In these modern times, the vast majority of companies use a digital system of some kind. While these systems can be protected by firewalls, virus protection and strong passwords, they are still vulnerable to cyber attacks. Cyber insurance can protect your business against malware and cyber attacks and cover any costs related to legal claims and compensation costs.

4) Directors’ and Officers’ Liability Insurance.

Directors’ and Officers’ Liability Insurance (also known as D & O) covers the directors and any other individual who has management responsibility in your business should they be personally held liable for their business actions.
This could involve breaches to UK health and safety regulations, errors in financial reporting and mismanaging the company pension fund.

Conclusion.

Still not sure what kind of business insurance is most suitable for your needs?
Don’t worry, we can help! Contact a member of the Nova Insurance team and we will give you expert advice
that is tailor-made around your business. Our call centre is open 6 days a week and calls are free of charge as we use 0800 numbers

4 Tips for Becoming a Shop Owner

Posted on 24th March 202114th April 2025 by Nova Blogger

Even though retailers have had a hard time over the past few years there are signs that the economy is on the mend, which means that shop owners are expecting a brighter future. This is why it may be a good time to start thinking about getting into the retail business, however for many this may seem a bit daunting as they don’t know where to start. This is why Nova Insurance is here to help with our four top tips for becoming a shop owner:

Think about what you want to offer

The first thing you need to decide when getting into retail is what type of services and products you want to offer your customers. Most people will already have an idea of this before they begin the buying process, however just because you have an idea it doesn’t necessarily mean it’s going to be a successful one. For instance, if you are planning on selling clothing you need to look at other shops in the area and see if you can realistically compete.

Getting to know your local area and its high street is a great way to help you decide what type of business you want to start, as not only will it give you an idea of the amount of demand in the area but also the type of shops that are already popular. For example, if you want to open a shop in a quiet rural area you should think about the types of products that would appeal to those that live there; instead of a high tech music store maybe focus on selling vintage radios and records instead.

Research the market

Even though the economy is improving it will still take a long time for shops in Britain to see the success they did pre-recession, which is why it is important you understand that investing in a shop is still risky. In order to reduce the amount of risk you should research the market to understand what issues you may face in the future. Don’t forget that the rate of success for businesses vary from area to area, so make sure you get information not just from the national papers but also your local council.

Another thing to keep in mind when thinking about opening your first shop is that there are a number of outgoings you will have to pay for even if business isn’t doing well. Rent, shop insurance, and even the products themselves all cost a considerable amount of money, so it is advisable that you have some sort of contingency fund in place in case you go through a rough patch.

Future proof your business

Many people claim that the demise of the high street has been partially caused by online shopping, especially as it has become increasingly popular over the years. However, there are still enough people who like the option of physically seeing a product before buying it, so as long as you give your customers the choice you can protect yourself for the future.

It is essential that when planning on buying your first shop you think about how you are going to market it online. It is very rare these days for any company not to have a website at the very least, however if you go further you could improve your business. Offering your customers the ability to order products online is just one way of doing this, however you can also utilise social media platforms in order to get to know your customers, build an online community and further advertise your store and products.

Be Passionate!

If you are still on the fence when it comes to deciding whether to open your own shop then you need to think about what you truly want. Putting time and effort into your business is the only way that it will have a chance of succeeding, and so you need to make sure that this is something you really want to do.

Owning your own shop can be great fun, especially if you have a real passion for the products you sell and want others to enjoy them as much as you do. As long as you make sure you plan ahead and give it your all you should enjoy your new career path!

What business insurance do i need?

Posted on 9th March 202122nd March 2021 by Nova Blogger

When considering business insurance, it’s important to think about the cover or covers you might need. Employers’ liability cover is a legal requirement for most UK based businesses with staff. Public liability insurance is important if you or your employees will be coming in contact with members of the public. Finally professional indemnity insurance is useful if your business offers advice, such as consultants, accountants and solicitors.

Policies you must have as a small business
There is only one policy you are legally required to have as a small business, and that’s employers’ liability insurance. This is often abbreviated to EL.

Employers’ Liability insurance or employers’ liability cover offers cover for your business in the event that one of your staff members claims they’ve suffered an illness or injury as a result of working for you. In the event of a successful claim it will cover the legal and compensation costs involved in defending the case.

What happens if you don’t have Employers Liability cover?
If you, or your business does not have appropriate EL then the Health and Safety Executive (HSE) can fine you £2,500 for every day you go unprotected.

What about if i am working from home?
Flexible working hours, no daily commute and less stress are just some of the reasons that running your business from your home could be a good idea. But whatever the reason is behind running your business from home, you need to make sure that you have the right insurance in place to cover your business activities at your home address.

Need a business insurance quotation?
Call Nova Insurance on 0800 083 1566 or click here to request a quotation.

How Tradesmen Can Keep Safe and Warm During Winter

Posted on 20th December 201722nd March 2021 by Nova Blogger

Now that we have said goodbye to autumn and winter has started. The days can be bitterly cold and windy, with an added problem of rain, snow or ice. Working outside during winter is extremely challenging, so it is important to put measures in place that will ensure you stay safe and warm during this period. This way you can continue to be productive at work despite the many challenges that winter weather brings.

Here are 3 tips to help you stay safe and warm during the winter months:

Invest In Some Specialist Winter Work Wear

To avoid conditions such as frostbite or hypothermia, it is essential that you invest in some specialist winter work wear. The best option to keep warm is to go for 3 loose-fitting layers rather than one or two bulky items. The loose layers help retain heat better and if you get too hot, you can take off some layers to stay comfortable. Your clothes should be both waterproof and thermal, for the first layer try to find fabric that wicks away sweat from your skin and dries quickly, avoid fabrics like cotton and look for wool or synthetic based clothing instead.

Good old fashion long Johns can be a tradesman’s best friend in the winter, so invest in some. Proper gloves are very important as you will often be handling very cold equipment and materials, such as metal. Your gloves should be light enough to allow you to work, but should still offer excellent protection from the elements. About 30- 50% of body heat is lost via the head, so don’t forget your hat. Find a thermal liner for your hard hat, including a balaclava and scarf for your face and neck.

The weather can lead to some hazardous conditions on site, making it easier to slip and fall. Having the right footwear for winter weather can go a long way in preventing such accidents, so too will a bit of extra care when walking around on site.

Eat A Healthy Diet

More than ever it is important to eat a healthy diet, with plenty of fresh fruits and vegetables during the winter months, so as to provide you with the nutrients your body needs to boost your immune system and so protect you from catching a cold or worse, the flu. Make sure to invest in a Thermos flask, so you can always have a hot slightly sweet drink with you such as tea or hot chocolate to warm up your system. It is important to stay hydrated as the cold weather can dehydrate you quickly, so too can alcohol and caffeine.

Take Frequent Breaks From Working Outside

Take frequent breaks from working outside to go indoors so you can warm up and dry off. Learn to be vigilant for the signs of hypothermia, such as uncontrollable shivering and slurred speech, and if you or any of your colleagues have these symptoms, get help immediately. If at all possible, try to do outdoor work during the day when it is light, and indoor work in the mornings and evenings when there isn’t much light outdoors.

Since there is little you can do to control the weather, if you have to work outdoors in winter, the only option is to be adequately prepared.

By following a few simple steps, you can stay safe and warm while on site throughout the winter period. On days when the weather is really bad, just take a break, it is better to be safe than sorry. Use the time to work on other areas of your business, such as your marketing, finance or any administrative tasks you have been putting off doing.

How and Why Networking Can Help Your Business Grow

Posted on 16th June 201712th March 2021 by Nova Blogger

Networking has many benefits for any business. When it is done correctly it can lead to many long lasting and mutually beneficial relationships. It can open the door to new opportunities that you may not have been aware of, such as joint ventures, partnerships or referrals.

Also, it is a brilliant way to get your business known by others in your industry, and to build a solid reputation in your chosen niche.

Commonly Used Forms Of Networking

There are two commonly used forms of networking: face to face and online. For most businesses face to face networking is traditionally the chosen method. Both types are effective, and have their pro’s and cons.

For example with face to face networking, you will need to travel, which will requires time and some money. Online networking is usually free, but even though you can chat with other businesses, it is not the same as meeting them in person. It is usually a good idea to use both types.

Face To Face

Lets take a look how to use both methods, starting with face to face networking.

Be sure to attend regular trade industry events and more general business events, both local and national throughout the year. Try to make it a habit to attend at least one a month. Be sure to attend regular trade industry events and more general business events, both local and national throughout the year.

Consider joining groups that have a large cross section of members and host regular networking events, like your local chamber of commerce. It is also worth checking with any organisations that you are already a member of to see if they have any future events planned.

It is often a good idea to prepare before attending network events by getting your promotional brochures and business cards in order. Try to decide before hand what your business has to offer those you might be interested in building a relationship with. If at all possible, make sure you create a list of the businesses you would like to meet, and do some research on these potential contacts, so that when you meet them you can ask relevant questions.

When at the event try to meet as many of these businesses as possible, and make sure that you stay focused on speaking to those on your list first. While it is important to talk about your business and ask questions, it is just as important to listen to what others have to say. Remember to ask if you can exchange details with a view to getting in touch in the coming week.

Online

When it comes to networking online, it does not have to be complex. To begin with you can create a basic social media plan. It should include a list of all the social networking sites that are relevant to your business, together with a list of the types of businesses you would like to contact.

Then set aside a specific time every week to use these social media platforms to interact with your chosen businesses. Be helpful, try and offer advice or solutions to problems they might have.

Nurture The Relationship

Having done the initial work to get new contacts, you must take care to nurture the relationship. Make sure to follow up on any pre-arranged meetings or phone calls, and maintain regular contact by using email or instant messaging.

It may take some time for you to build rapport with your ideal contacts, but it usually worth it in the long run, because businesses feel more comfortable working with someone they know.

Networking has the potential to deliver a lot of value for a relatively small investment in time and money, so go ahead and give it a try, it could give your business a good chance of becoming more successful.

Things To Consider When Searching For The Right Business Premises

Posted on 17th February 201717th March 2021 by Nova Blogger

For any business, finding the right premises can be challenging. Business premises are one of the biggest expenses for a business, so it is important to find the right one at the right price, in the right location. It can often take longer than you think and you might need to look at many places before finding the right one, but it is usually worth it.

Here are a few tips to help with the process:

Decide On What You Need

Do you want to buy or lease? Both have their pro’s and con’s, it depends on your situation. If you are just starting up, it may be wise to lease somewhere until your business has proved its-self, before making the commitment to buying a property. However if you are an already established business looking to grow, then buying a premises could be a long term investment.

Which ever you decide on you will still need to workout what you need, based on a combination on both your businesses current and future plans. A few things to consider are: what size of premises, what layout, and the length of time you require the property if you are renting. Your location of choice will depend on your business type, and you may need to be near your customers if your business requires it.

Set a Budget

The most important thing here, is to make sure you can afford which ever premises you are interested in. Look at your business financials to get an idea of how much you can afford to spend, and do some research about the various costs you are likely to incur. For example there are costs to get the premises such as deposits, equipment, furnishing, renovations, moving, and any professional fees. Then there are also costs to run the premises on a monthly basis such as rents, heating, insurance, business rates etc. Once you have a realistic idea of your budget and the costs, then you can start the process of looking for your ideal premises.

Get Professional Help

Now it’s time to get professional help for your search. You need to make sure you seek professional advice before agreeing any terms, signing any paper work or paying any deposits so you don’t make any mistakes. Your accountant would be able to double check your budget to see if it is affordable.

Commercial property leases can be complicated and so there is a good chance you will require a commercial property lawyer. Also you will need a commercial property agent to find a list of vacant premises for you to look at.

Start Searching

At this stage it is important to try an see as many properties as you can. It may help to make up a schedule so you know in advance when you have to view properties. Setting up a checklist can be a great way to compare the properties you see, so you can make a better decision about which is best.

The list could contain all the elements that are important for your business. You can then score each property you see based on your criteria. At the end of your search, the ones with the highest scores can be put on a shortlist for further consideration.

Purchase The Premises or Sign The Lease

Once you have found your ideal premises, one that fits all your requirements and meets your budget, then it’s time to sign agreements and hand over deposits. Your professional advisers will help to guide you through each step of the completion process. After all that is done then it’s time to renovate, move into your new premises and carry on with business as usual.

9 Steps For Starting Up A Bricklaying Business

Posted on 18th January 201714th April 2021 by Nova Blogger

Running your own bricklaying business will provide you the opportunity to be your own boss and set your own hours, but there are a few things you’ll need to get your business on the right track to success from the start.

Here are 9 steps to help you launch your business:

Step 1: Create a business plan

Writing a business plan will help you determine your business goals and the resources you need in order to meet those goals. The process of writing a plan will also give you a chance to see if your idea is feasible or not. Your plan will act as a working document for your business, as well as a tool for getting any required finance.

Step 2: Get the right training and qualifications

Once you decide that your idea is feasible, the next step is to get qualified. If you have no formal training in the construction industry, then you should consider taking one of the many accredited bricklaying courses that are available. It would also be a good idea to find some kind of temporary or part-time bricklaying work so as to practice your skills. If on the other hand you have experience in the industry, then put together a list of your current skills/experience and determine what additional training and qualifications you need to get.

Step 3: Get the necessary finance

With your business plan written, you can now begin the process of looking for money to fund your start-up. Check to see if there are any available government funded schemes that offer financial assistance to your industry. It is also worth approaching your bank and the many alternative lending providers including crowd funders.

Step 4: Find a suitable business location

You now have to decide where you will operate your business from. With a bricklaying business you will need a suitable place, because you will have equipment and materials to store. You may choose to work from home to begin with, in which case you should set-up a designated area for that. However if you decide that you want to work from away from your home, it is best to look for a location that is easily accessible, so that potential customers will be able to reach you.

Step 5: Register your business

Now it is time to decide whether to operate as a sole trader or a limited company. Both have their pro’s and con’s. It is easier to set up as a sole trader, but a limited liability company will offer more legal protection. If you decide to incorporate, then you have to choose a name and register it with Companies House so no one else can use that name. Regardless of which structure you choose, you have to notify HMRC of your decision, so you can apply for the necessary tax/ national insurance documents before you begin.

Step 6: Get equipped

It is time to equip your business with any tools you need to perform your bricklaying tasks. This will also involve choosing a vehicle to transport you and your kit. Depending on your finances you may decide to buy these items outright or to lease them until your business grows. If you already have equipment, then this is the time to get them cleaned and serviced.

Step 7: Apply for licenses and permits

You need to contact your local council in order to find out what licenses and permits are legally required for you to operate as a bricklayer. This is also a great time to join any relevant trade associations.

Step 8: Get Insured

This is one of the most important steps that you must complete. In bricklaying as in many construction related jobs, accidents can and will happen. Therefore it is essential that you protect yourself, and your business from any legal action that may follow. To begin with you would need some type of public liability insurance coverage, this is is great for things like customer and staff injuries as well as any mistakes or damage to your customers properties. Then you need some form of coverage for your all equipment including vehicles if you have them to protect them for loss, damage or theft. Finally you may want to consider some form of income protection so you are covered in times when you are unable to work due to personal illness or other unforeseen events.

Step 9: Promote your business

Once you are financially and legally ready to start operations, you focus should now be on getting customers. A great way to do so is by having an online presence via a company website. This will make it easy for potential customers to find out about your business and the services you offer. Couple this with the many social media channels and you can reach a large audience of potential customers quickly. Offline you can take out ads in local papers and business directories. It is also worth networking with other tradesmen, to find out if there is any work you can do together.

Once you have completed all these steps, you will be ready to launch you new bricklaying business, knowing that you are adequately prepared for the journey ahead.

Making The Switch From A Sole Trader To A Limited Company

Posted on 18th November 201617th March 2021 by Nova Blogger

You can choose to change your businesses status from sole trader to limited company at any time. Both formats have their pros and cons, the best choice will depend on a combination of your current situation and future plans. However there may be an optimal time to make the switch and that is when the benefits of being a limited company outweigh those of begin a sole trader.

So when might this be? Well here are a few possible situations in which it might be the right time to make the switch, but it is important to make sure you calculate the potential benefits and savings first before making the switch.

You may decide its time to make the switch if:

Your salary is increasing:

As a sole trader you have only one way to take your salary, and that is as a salary, plus you must pay both income tax and national insurance contributions on it. A company director on the other hand can choose to take their wages by a combination of salary and dividends. Dividends are free from national insurance contributions. So as a company director you can reduce your taxes by taking a small salary and the rest from dividends, making it a more tax efficient way.

You are looking for investment:

If you are looking for investors, then setting up as a limited company means that you can sell shares to investors. Also there is the added perception that a company has more credibility than an individual, and so many companies prefer only to do business with a limited company. Due to this, potential investors are likely to be more open to investing in a limited company as opposed to a sole trader.

You are concerned about liability protection:

As a sole trader you and your business are considered one and its debts are yours, so if your company fails then you are liable for it’s debts. A limited company on the other hand is legally a separate entity from its owners, and so if your company is fails then your personal assets are not at risk, because as a share holder you are not liable for its debts.

Your company profits start to grow:

When you are trading as a sole trader, you are taxed via the annual self assessment system and you and your business are considered one entity. A company, however is taxed via the corporation tax system. There are some potential tax savings that can be made by switching to a limited company.

For example, for the 2016 -2017 tax year, as a sole trader your tax free allowance is £11,000, you the pay 20% tax on any amount between £11000 and £43,000, after which you are taxed a higher rate of 40%. However for a limited company, the annual small profits tax rate is currently 20% on any amount up to £300,000. So switching to a limited company may be more tax efficient because even though it is taxed at the same tax rate, it has a much higher maximum amount.

You want to protect your intellectual property:

By registering your company name with companies house, you prevent any other person or business from using the name, it is now protected by law. However as a sole trader you don’t have this protection, and so it can be a lot harder to protect your name.

So there are some scenarios in which you might consider changing from a sole trader to a limited company, because to do so will result in some form of savings and other tangible benefits. If you do make the decision to switch, you then need to notify the HMRC that you are becoming a limited company, and then de-register as self employed. From there it is a simple process of registering your business with Companies House and then you can start trading as a limited company.

Category: Business Insurance