Explore Our Services

Business Income Loss Assessments

The Problem: Business Interruption (BI) claims are the most contentious part of any property loss. Insurance carriers often utilize rigid formulas or "flat averages" that fail to account for a business's growth trajectory, seasonality, or unique market conditions. If the "Actual Loss Sustained" isn't properly modeled, the policyholder loses money twice: first from the disaster, and second from the settlement.

Our Approach: We do not rely on simple averages. We perform a forensic reconstruction of what the business would have done had the loss not occurred.

  • We conduct a deep-dive review of historical financials and interview key management to identify anomalies. By asking the right questions, we adjust for non-recurring events to establish an accurate, unassailable pre-loss revenue baseline.

  • We analyze 24-36 months of pre-loss financial data to establish accurate growth trends and seasonal spikes.

  • We align financial projections strictly with the operational timeline of repairs, ensuring the indemnity period captures the full impact of the downtime.

  • We meticulously calculate "saved" expenses (like cost of goods sold or hourly labor) to prevent the carrier from over-deducting them, ensuring a fair Net Income calculation.

The Deliverable: A defensible, professional report that includes detailed schedules, projection methodologies, and supporting source documents, ready to withstand carrier audit.

Extra Expense Tracking & Recovery

The Problem: Most policies contain a "Duty to Mitigate" clause, requiring business owners to resume operations as quickly as possible. However, the costs incurred to do this — renting temporary office space, paying overtime, or rushing inventory — are often rejected by carriers as "unnecessary" or commingled with normal operating expenses.

Our Approach: We segregate "Survival Spend" from "Normal Spend."

  • We don't just wait for receipts; we guide clients on how to book expenses as they happen. We help set up specific general ledger codes and vendor tracking workflows immediately post-loss to ensure no reimbursable cost slips through the cracks.

  • We build a forensic schedule of every dollar spent specifically to reduce the business income loss.

  • We mathematically prove to the carrier that spending $1 on Extra Expense saved them $2 on Business Income, making the claim irrefutable.

  • We match every line item to an invoice, receipt, or ledger entry, eliminating the "lack of documentation" delays common in claims.

The Deliverable: A distinct "Extra Expense" claim schedule that sits on top of the Business Income claim, ensuring your client is reimbursed for the heroic efforts they made to save the business.

Strategic Recovery Advisory

The Problem: A successful insurance claim is useless if the business runs out of cash before the check arrives. The "Liquidity Gap" — the time between the disaster and the final settlement — can stretch for months. During this time, vendors still need payment, and debt service doesn't stop.

Our Approach: We act as an “interim CFO” type resource for the distressed entity.

  • We immediately review the company's current cash position and fixed obligation schedule to calculate the precise "runway" available, helping ownership make critical operational decisions in the first 30 days.

  • We develop 13-week rolling cash flow forecasts to predict "cash crunch" moments before they happen.

  • We provide the data needed to negotiate payment deferrals or temporary terms with suppliers and lenders while the claim is pending.

  • We advise on the strategic allocation of partial payments or advances to ensure the business remains solvent throughout the restoration process.

The Deliverable: A strategic roadmap that helps the business survive the waiting period, preventing insolvency during the claims process.

Appraisal & Dispute Resolution

The Problem: When the policyholder and the carrier are deadlocked on the amount of the loss, litigation is expensive and slow. The "Appraisal Clause" in the policy offers a faster, binding alternative, but it requires a specialized financial expert who understands the nuances of a business interruption claim.

Our Approach: Brian Drake, CPA, serves as the named Appraiser for the "Time Element" (financial) portion of the loss. We fulfill the policy requirement for an unbiased expert, maintaining the ethical standards required to protect the integrity of the award.

The Deliverable: A negotiated, binding resolution to the financial dispute, achieved without the costs or delays of a courtroom trial.