Disaster Recovery and Contingency Plan
Of Roop Financial Services, INC.
Summary Disclosure Statement
Roop Financial Services, INC. has devised the within Disaster Recovery and Contingency Plan in order to effectively address and state the specific steps which we shall use and employ in order to recover from any disaster or emergency.
Our first line of defense is the full compliment of insurance that we carry. This has been tailored to protect us from a loss of financial resources in the event of a disaster. It is our understanding that acts of war are probably not covered under this or any policy.
Our physical location could become unusable for many reasons. Regardless of the cause the impact would be the same, but the duration could be longer. This section focuses on the variety of scenarios we can envision and our responses to them.
A. Short-term disruptions that cause our building to be unavailable for time frames of less than one month. The following is a list of possible causes: power outages, broken HVAC, weather emergencies, or evacuations. To deal with this we would operate at a remote location, possibly out of our homes, a suite in another professional’s office, or a suite/ballroom at a local hotel. Employees are to check in with management via their home phone number or cell phone number to be informed of place of operation. Vital equipment will be transported to site if possible or borrowed or leased at the location of operation. If needed, data will be restored from one of many different forms of data backups we have in place. Phones are to be forwarded.
B. Intermediate-term disruptions that cause our building to be unavailable for a time frame of more than a month and less that a year. The following is a list of possible causes: fire, contamination, flood damage, or building structural problems. If we do not know the magnitude at the time of the event, we will utilize plan A, above until it is clear that the time frame will exceed one month. We will lease temporary space from a business associate or through a commercial realtor. All equipment and files will be moved or replaced and phone lines will be transferred to the new location. Once our building is back online everything will be moved back.
C. Permanent loss of use of building. The following is a list of possible causes: fire, flood, or terrorist attack. At the time of the event we should know the severity of the event and would go right to plan B and find new permanent office space.
If the city is destroyed or rendered uninhabitable, management has chosen two evacuation locations. At that time we would regroup and choose an area in our state to house our operations. We have created procedures to protect our asset management data, financial data and other important documents. However, some less important data would have to be reconstructed. Our greatest challenge would be finding the location of our clients. We would utilize whatever means necessary to do this.
Our equipment needs are not very sophisticated or extensive. [Example: We utilize several standalone computers. This setup could be operational within hours and completely restored in less than a day. Any IT specialist could do this in the event that our current person is unavailable.]
Our phone system is relatively simplistic and could be moved or replaced within hours and our phones can be forwarded in a fraction of that time. The rest of our office equipment is generic and can be readily replaced.
III. Regulatory Issues
We would make every effort to remain in compliance in the event of a disaster. We have transferred much of the required paperwork to a digital format that is backed up and off site. We will be working to place a substantial portion of the other paper documents that we utilized in this format also. We are always in contact with our Compliance Department at Woodbury Financial Services. Woodbury Financial Services compliance department would be one of the first resources we would contact in the event of a disaster to ensure that we remain in compliance and would follow their directions.
IV. Third Party
We do not utilize any third party venders that are so unique that they could not be replaced with a competitor.
The only quasi third parties that would cause us great disruption are companies that make up the infrastructure of the country.
If the banking system, mail system, communication networks, security markets or federal government were rendered inoperative for any great length of time we would not be able to operate. We do not have the size or resources to provide these services ourselves.
V. Systems and Information
A. Roop Financial Services is determined to make the relationship between ourselves, our agents, and our carriers totally efficient and seamless. Computer systems at Roop Financial Services, INC. are relatively unsophisticated in design and setup but are vital to our operation.
The actual client data is stored on a web based system called Ebix Smart Office and is paperless. Clients files are scanned and kept in a password protected web based system. Our client’s data can be obtained anytime through:
- EbixSmartOffice – Smart Office is a web based system and approved by our Broker Dealer Woodbury Financial Services.
- Images of client statements and documents are stored in a digital format and stored in EbixSmart Office and complies with SEC rules
- The EbixSmart Office system can operate anywhere anytime in the event of a disaster and has the ability to perform all the functions to obtain client data.
B. Our paper files are our weakest link, since they consume large amounts of space. They are not easily transported. We are working on the conversion of the important documents to a digital format. This process is time consuming and will be an ongoing project until all communications are done electronically. Until this time, we will make every effort to protect these files from being damaged or stolen. It is encouraging that the large majority of the firm’s files could be recreated.
Our employees are one of our most valuable resources. We make every effort to protect them from harm at the workplace and to retain them. In the event of a disaster the staff is informed to check in with one of the managers to receive instructions. We would hire carefully screened temps and subcontract out non-confidential work in the event of loss of large number of employees. Any management teamm ember could be replaced by hiring a combination of consultants and other professionals. Roop Financial Services has plans for ownership transfer in the event of the owner’s death. If this plan is not implemented it is the responsibility of the management team to sell the business.
This disaster/contingency plan is to be reviewed at least annually at our board meeting. Changes to be implemented more frequently if needed.
Employee Phone List
Walter Roop cell (901) 652-9002