A few short weeks ago, a taxi strike brought the city of Cape Town almost to a complete standstill. Commuters were unable to get to work, meaning that several businesses were short-staffed or had to close entirely. Deliveries were unable to take place and after a few days, grocery store shelves started to look very sparse. And with the risk of violence looming on the horizon, many learners were unable to go to school, kept home by concerned parents.
For business owners who find themselves dealing with the financial fall-out of a strike, riot or protest, what should they take into account?Read: Taxi strike cost Western Cape R5bn MEC tells Parliament Factors such as the looting, destruction of property, burning of busses and other transporting assets mean a business owner will have to refinance lost or damaged assets – typically at higher interest cost – as replacements.For business owners, the most important thing you can do to protect yourself financially and mitigate some of the financial fall-out is to have business insurance.