Business Continuity Planning for UK SMEs

Understanding Business Continuity Planning

Disruption happens, whether it’s illness, a cyber-attack, or a supplier collapse. The pandemic reminded us how quickly business as usual can disappear and recent global events, from the war in Ukraine to ongoing supply chain disruption, have shown just how fragile our systems can be. For small businesses, even a single unforeseen event can halt operations overnight. A clear, well-thought-out business continuity plan helps protect your people, processes and clients when instability strikes.

A business continuity plan (BCP) isn’t about predicting every possible crisis. It’s about ensuring that if something disrupts your business, you can keep operating, safely, compliantly and with minimal impact to your team and customers.

This guide will walk you through how to create a simple but effective continuity framework that protects your people and processes.

What business continuity actually means

Most small businesses don’t plan for disruption, not because they don’t care, but because they’re busy. The day-to-day takes over, and “what ifs” get pushed down the list. Yet, as recent years have shown, anything from illness or power loss to data breaches or key staff departures can suddenly test a business’s resilience.

Effective risk management is at the core of successful business continuity planning. Identifying potential risks, whether they stem from natural disasters, cyber attacks, or supply chain disruptions, enables small business owners to evaluate their vulnerabilities. By systematically analysing these risks, business leaders can create targeted strategies that mitigate their impact. This proactive approach not only safeguards assets but also protects reputation and ensures customer trust.

Business continuity is the structured process of identifying these risks to your business and putting measures in place to ensure critical operations can continue.

It’s broader than disaster recovery (which focuses on restoring IT systems). Continuity planning looks at the entire organisation - your people, premises, technology, suppliers and communication.

A strong BCP answers three key questions:

1. What could disrupt our ability to operate?

2. How would we respond if it did?

3. Who is responsible for making that happen?

Why it matters for small businesses

When large organisations face disruption, they have depth to maintain business as usual or sufficient resources to manage; multiple sites, backup systems, cross-trained staff. Small businesses don’t. Losing one key person, laptop or data source can halt operations entirely.

Continuity planning matters because:

• Clients expect reliability. Even a short interruption can damage reputation and trust.

• Regulators expect preparedness. ISO standards and government frameworks increasingly reference continuity.

• Employees need confidence. Knowing there’s a plan improves morale, safety and clarity in a crisis.

• It’s cheaper to plan than to react. A few hours spent mapping risks saves days of firefighting later.

Common continuity risks for SMEs

Continuity threats don’t have to be dramatic. Everyday issues are often the most damaging:

• Long-term sickness or departure of a key employee.

• Cyber-attack, phishing or loss of data.

• IT system failure or cloud service outage.

• Fire, flood or power failure at your premises.

• Supply chain or logistics breakdown.

• Reputational damage, legal dispute or compliance breach.

• Pandemic-style disruption or sudden loss of demand.

HR-related risks are often overlooked, such as lack of succession planning, absence of documented procedures, or reliance on one person who “knows how everything works.” These are often the cracks that widen first.

How to build a continuity plan in six steps

Creating a business continuity plan is a structured process that involves several key steps:

1. Identify your critical functions

Start by listing what your business must keep running to survive. For example: client communication, payroll, order fulfilment, or data access. These are your priority activities.

2. Assess the risks and impact

For each function, consider what could disrupt it (e.g., staff illness, system crash, power cut) and what the impact would be. Then rate risks by likelihood and severity. This helps focus your attention where it matters most.

3. Develop contingency plans

For each critical area, outline the backup plan:

• People: Who can step in if a key employee is unavailable? Have they been trained?

• Process: Are instructions documented? Can someone else access them?

• Technology: Are backups stored securely off-site or in the cloud?

• Suppliers: Do you have alternative contacts if a supplier fails?

A good rule of thumb: if only one person knows how to do something, it’s a risk.

4. Assign roles and responsibilities

Create a small continuity team (even if it’s just you and one other person). Assign clear roles:

• Decision-maker (e.g. Managing Director)

• Communication lead (internal and external updates)

• HR/People contact (employee support and welfare)

• IT/data contact (system recovery)

Document contact details, include deputies, and make sure everyone knows where the plan is stored.

5. Communicate and train

A plan is only as good as the people who understand it. Include continuity awareness in onboarding and management meetings. Run simple scenario tests, for example, “What if our server was down for 24 hours?”

6. Review, test and improve

Continuity plans should evolve as your business changes. Review at least annually or after any significant event. Testing doesn’t have to be complex: simulate a minor disruption, note what worked, and update the plan accordingly.

By following these steps, small businesses can develop a robust business continuity planning strategy that will not only help them stay afloat during difficult times but also position them for long-term success.

The people side of continuity

Business continuity is often seen as technical, but people are at the heart of it. HR plays a crucial role in ensuring continuity isn’t just a document, but a mindset.

1. Succession and skills mapping
Identify single points of failure; individuals with unique knowledge. Build overlap by documenting procedures and providing cross-training.

2. Communication and welfare
In a crisis, communication clarity matters. Employees need to know who to contact, where to access updates, and how their pay or safety is affected. Include emergency contacts and wellbeing support in your plan.

3. Remote and flexible working
The ability to work remotely can be a key continuity safeguard, but only if properly managed. Ensure home setups meet health and safety standards, and data security measures (VPNs, password protection, GDPR compliance) are in place.

4. Leadership preparedness
Leaders need to remain visible and calm in a disruption. Training managers in crisis communication, empathy and decision-making under pressure strengthens continuity.

Keeping it practical

Your business continuity plan doesn’t have to be complicated. A clear, one-page summary with supporting appendices is often enough for SMEs.

Include:

• Key risks and mitigations

• Contact details and responsibilities

• Steps to maintain critical operations

• Communication templates (internal and client-facing)

• Policy links (remote working, data protection, health & safety)

Use tools like Breathe HR, Google Workspace or simple Excel logs to keep information up-to-date.

If you want to align to recognised standards, ISO 22301 provides a framework for Business Continuity Management Systems but it’s not mandatory. The important part is that your plan is realistic, owned, and regularly tested.

How Saltwater HR can help

At Saltwater HR, we help small businesses across West Sussex and the south coast to build operational resilience.

Our support can include:

• HR, file and process audits.

• Risk and continuity assessments tailored to your size and sector.

• Creation of practical continuity frameworks linking HR, compliance and operations.

• Policy development for remote work, data protection and communication.

• Integration with your existing systems 

We bring structure, compliance and people-first thinking to ensure your business can weather disruption — and recover stronger.

Conclusion

A business continuity plan is more than a document, it’s peace of mind. It protects your people, your clients and your reputation when things go wrong.

For small businesses, continuity planning doesn’t have to be complex or expensive; it just needs to be clear, actionable and embedded into everyday operations.

Start by mapping your critical functions, documenting responsibilities, and making sure your team knows the plan. 

Further Resources:

• Download our Free Business Continuity Checklist

• UK Government – Prepare for emergencies

• ISO 22301 overview – BSI

• HSE – Managing risk and emergencies