Trusting your instincts sounds simple enough. As a business owner, you are faced with a multitude of decisions on a daily basis.
Some of those are relatively simple and require little thought while others are much more complex – especially when the stakes are higher.
As is the case with any high involvement decision, no matter how much careful consideration is given, there can often be a lurking feeling that something is not quite ‘right’. A gut feeling.
When Something Just Doesn’t Feel ‘Right’
Let’s say you’re a building contractor and require the services of a plumber to assist you in completing a new housing development.
This would be considered a high risk or high involvement decision as it is vital that the business you choose to employ are able to fulfil their obligations on time and to an acceptable standard.
The cost of a subcontractor failing to complete the work they were contracted to do can be damaging to both your reputation and your bottom line.
You’ve spent some time researching the plumbing business, you’ve looked at their past projects and you’ve gone over the contract with a fine tooth comb – but your gut is telling you something doesn’t feel quite right.
Trusting Your Instincts
From our experience in working with small businesses, many claims often arise from those projects that our clients questioned at the very beginning.
They may have had a feeling that a person, the project or the contract terms didn’t stack up prior to entering into business.
Unfortunately, risk can’t be eliminated completely contractually. Both parties to the contract need to feel comfortable that the relationship will be successful and a certain level of trust is established.
Having said that, it’s also important to trust your own instincts because they are often right. Your intuition is usually based on past experiences – both the good and the bad so it is important to take notice when you do have feelings of reservation.
When it comes to making decisions for your business, we recommend that you are thorough with your due diligence.
Before entering into a new contract, have your insurance broker read over the contract to ensure there are no nasty surprises in the fine print, as well as consulting with any other advisors who can provide further advice surrounding your decision.
Finally, don’t sweep your gut feeling under the rug right away. Take some time to consider why you may be having second thoughts about the project or the contract as it could be the difference between a sound decision and potentially costly mistake.
Would you like assistance with your business insurance requirements? Contact us.