Managing the Impact of Civil Unrest on Businesses: A Guide for CEO’s on How to Safeguard Your Business

By Peter Boolkah

The unrest seen across towns and cities at the beginning of August following the murder of three school girls in Southport sent shockwaves across communities in the UK. After the suspect’s religion was wrongly leaked on social media as Muslim, we saw mosques and buildings housing asylum seekers targeted as well as violence on the streets. As the riots raged, small businesses found themselves directly in the line of fire as both Muslim and non-Muslim-owned high street shops were targeted. 

In this article global business coach and business owner Peter Boolkah will consider how owners and CEOs of businesses can safeguard their businesses in the future should it happen again.

The riots in early August caused small businesses and their owners both physical and psychological damage. One might consider the physical damage to be easily cleared up with insurance paying for the damages. However, with the economic instability felt globally and in the UK in recent years many small businesses are operating on very tight margins. A rise in an insurance premium due to a claim could have dire consequences. Indeed some small businesses affected may not have had insurance at all or their cover may not have included damage due to civil unrest. It is therefore imperative that small business owners check their insurance and legal responsibilities when it comes to acts such as these and ensure they are covered. It is not just the physical damage that small business owners will be grappling with. Their confidence in their safety will have been damaged and the psychological impact of feeling vulnerable as well as the loss of trading time could be substantial. 

The world that businesses operate in has changed radically over the last 5 years. Whilst there is more opportunity afforded by the change to the working landscape some industries have been hit hard. Retail has seen some big losses during that time as the high street became less attractive as consumers moved even further towards the online model. So for those businesses still on the high street or for those servicing businesses with a physical presence, how do we safeguard against further civil unrest and what that could mean for CEOs of SMEs?

Civil unrest can present significant challenges for businesses. It disrupts operations by affecting employee safety and damaging property. It is a complex task for CEOs to navigate. The important thing is to find strategies to mitigate the effects of civil unrest on their businesses so they can stay resilient. How do we do this? The first step is to understand the specific risks that civil unrest could pose to your business, a risk assessment. This could well show up gaps in your security. For example, do you have shutters across your shop front? Are they alarmed and fit for purpose? Investing in security measures to protect employees, assets, and facilities such as barriers and surveillance, as well as cyber security measures to protect against potential cyber-attacks that often accompany civil unrest is a good idea. 

On the other side, you could be a business which supplies a high street shop with goods. You too will need to have strategies in place to deal with your customers having to temporarily cease trading. How can you help them? What do you have in place to safeguard your income when they are under threat? When we say that civil unrest affects everybody whether they have a physical presence on the high street or not this is what we mean. Supply chains often end at a physical retailer. 

Civil unrest often arises from deep-rooted social and political issues. CEOs can play a role in addressing these underlying causes by engaging with the communities in which they operate. This might involve contributing to community development. This can help build goodwill and reduce the likelihood of the company being targeted during unrest. Civil unrest might disrupt supply chains and day-to-day operations. It is also important that your staff have clear safety rules to follow if unrest breaks out nearby. This should include their safety and if possible their ability to keep the premises safe.

Civil unrest can present complex challenges for businesses, but the key to survival is careful planning and management. CEOs can mitigate the impact and ensure the resilience of their companies by prioritising employee safety, engaging with the community, and addressing legal and security concerns. I see no reason why CEOs who navigate these difficult situations consistently and have strategies in place to deal with civil unrest should not emerge with their businesses intact and potentially stronger. The key is to act with foresight, empathy, and decisiveness, turning challenges into opportunities for growth and positive change.