Outline the organization’s risk exposure as well as the strategies for managing each of the risks identified. 

  • Include a chart to summarize the risks you have identified along with your assessment of their potential consequences, possibility of occurring, and plans for dealing with them.
Risk Exposure Risk Consequence Risk Potential Mitigation
Fire, flood, theft Possibly devastating Moderate Purchase insurance and monitoring system
Bad debt Lost income and profit Moderate Credit checks, registered security, legal contracts
  • Describe your control processes. For example, you should describe how you will implement controls if your employees will:
  • handle cash generated as part of their work,
  • have access to your computer systems (customer lists, customer information, product information, financial information, etc.),
  • sign for incoming supplies or inventory, and
  • communicate directly with customers, the media, and others.
  • Outline any business insurance you will carry, explaining the coverage, the premiums, and the payment schedule (provide costs/numbers).

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