Ron and Lorna Pearce spent nearly thirty years building a business which had become a high profile company supplying Australian household-name products. What started with the Maxicrop product had expanded to one of Australia’s most recognised and trusted suppliers of environment-friendly solutions for gardening and agricultural problems.
When the unthinkable happens
In the early hours of 7 February 2002 they were woken by a phone call informing them their factory was on fire. Just at a time when Ron and Lorna were looking towards withdrawing from the business they now had to start re building. Within 24 hours, temporary offices had been established and thanks to thorough data and computer backups, order processing had resumed. The seed of re-growth had been planted.
With an excellent working relationship between Multicrop and Saward Dawson established over many years, Ron asked us to help in the daunting task of working through the maze of insurance claims. He had been wise enough to ensure that the business had appropriate insurance cover and realised that, in order to gain full access to the rightful entitlements, he needed assistance.
Bruce Saward set about the complicated task of determining what Multicrop’s insurance policies really meant in terms of compensation. Whilst determining the value of buildings, stock and equipment was relatively straight forward, placing values on the loss of profits and business interruption was a very complex undertaking.
Every business needs to review its risks. They are diverse and come when we least expect them.
Success - A team effort
In seven months, Multicrop had fully re-built their premises on the same site and proudly moved back. Recovery from such a devastating incident is difficult and Multicrop has achieved a great deal. "The rebuilding of our business was a real team effort involving exceptionally dedicated staff, supportive suppliers and customers, together with committed consultants like Saward Dawson" said Ron Pearce.
There are lessons here for everyone. All businesses need to review their risks; they are diverse and come when we least expect them. Multicrop’s experience reinforces the importance of daily offsite data backup and adequate insurance. We encourage all our clients to assess and address the risks that are peculiar to their business. Saward Dawson is well placed to assist in this regard to ensure that your business is adequately protected.