Businesses of all sizes should make sure that they have a back-up plan in place in case things go wrong, according to one expert.

Ian Fraser, marketing manager at the Institute of Risk Management, explained that a disaster recovery plan is vital no matter what a firm is involved in.

He said: "When things have gone wrong it is usually too late to make business continuity arrangements, or at best they will take longer and cost more, but all too often businesses do not survive if they haven’t prepared."

Making sure that staff are trained in risk management procedures can help a firm prepare to deal with the most common problems, he added.

Research by Disaster Recovery Solutions found that 20 per cent of all companies will suffer fire, theft, flood or storm damage, power failures, terrorism or some form of technological mishap during their existence.

It also found that 43 per cent of firms without a disaster recovery plan will never re-open, while 80 per cent fail within 13 months.

RELATED ARTICLES:

• FPB calls for rejection of congestion charge
• Transport 'vital to UK firms'
• Fuel savings 'can make a big difference'
• Government 'should help firms meet fuel costs'
• Maternity laws 'will hit small firms'