March 31, 2020

The Covid 19 Pandemic is clearly demonstrating the need for Business Owners & CEOs to have updated, formally written Business Continuity Plans with specific Instructions for changes, actions and administration of business operations in the event of:

  • Temporary Business Shutdowns
  • Business Owner/Key Employee Death, Disability or Illnesses
  • Large Scale Employee Absences
  • Disagreements with Shareholders, Family or Key Employees
  • Absence of a Successor to the Owner

In order to minimize or prevent major disruption to the business, clear, concise policies and instructions need to be written, maintained and updated periodically and communicated as applicable, to:

  • Shareholders
  • The Owner’s Family
  • The Key Management Employees
  • Clients and Customers
  • Key Vendors and Business Partners
  • Regulated Agencies

Key issues to be considered in preparing and executing these written plans and instructions include:

  • Is it clear who will run the business in the event the Owner is sick, disabled or has died?
  • Does the Owner's family know the Owner's wishes and plans in the event of sickness, disability or death?
  • Is there a Strategic Plan in place which reflects the Owner(s)' and Management Team's Goals & Objectives?
  • Are the Management Team's and Key Employees incentivized to remain with the Company through a crisis or change in ownership?
  • Is the Balance Sheet adequately capitalized to meet cash flow requirements in the event of a revenue shortfall or crisis?
  • Are there instructions for how to notify customers and vendors about how you intend to meet their needs during a crisis?
  • Are there instructions for how employee roles may change in the event of a crisis or change in ownership?
  • Is there a Buy/Sell Agreement in place and updated in the event the Owner has died, been disabled or divorced, and a plan to transition and/or sell the business?
  • Has the value of the business been maximized to avoid a significant discount in the event of a needed sale?

These are some of the things that should be considered and included in a Business’ written Continuity Plans and Instructions. These matters are complex, and involve consultation and coordination with several different professional advisors. While these plans and instructions should be in place before such issues occur, even in the midst of a crisis many of these items can and should be addressed and put into place. 

Strategy Management would be pleased to help you navigate, plan and execute these issues into a formal, written set of Business Continuity Plans and Instructions, and more importantly, turn them into a series of Actions to reduce risk to the Company and increase its ability to survive a crisis and thrive in its aftermath. 

Please call Bob Cinquegrana at (410) 913-9252 or email him at to set up a complimentary initial consultation to see how we may assist you. Thanks, and

Best regards,

Bob Cinquegrana


Securities offered through Evergreen Advisors Capital, LLC, Member FINRA/SIPC. Strategy Management, LLC and Evergreen Advisors Capital, LLC are separate entities.