How Not Installing Business Premises Security Costs You Money

Many business owners see security systems as an unnecessary expense. But in reality, not having business security is what really costs money.

Retail crime, vandalism, and insurance claims drain millions from businesses each year. For example in New Zealand, retail crime alone costs businesses $2.6 billion annually according to NZ Police. That’s a lot given New Zealand’s population of just 5 million.

Theft, property damage, and operational disruptions all add to the financial burden. Therefore, if you’re a business in New Zealand, investing in business security alarms, CCTV, and access control through reputable commercial security installers such as Auckland CCTV isn’t just about safety—it’s a wise financial decision.

Wherever your business is located—be it in the USA, Australia, or the UK, for example—this article continues to use New Zealand as an example for reasoning why not installing security is costing your business more than you think.

1. Preventing Theft – Stopping Inventory Loss & Shrinkage

Retail crime is out of control. According to HCA mag, in 2023 alone, there were nearly 150,000 retail crimes in New Zealand.

Theft and shoplifting drain profits. Every stolen item adds to inventory loss, increasing shrinkage and cutting into revenue. For example,
let’s consider a retail store that loses $500 worth of weekly stock to shoplifters. That’s $26,000 lost in a year. In your location, it’s likely to be a lot more,e given our example – New Zealand is considered a low crime location.

With security – preventing theft

• CCTV & Commercial CCTV Installation – Deters shoplifters and captures evidence for police
• Business Security Alarms – Alerts staff to break-ins and unauthorised people in restricted areas
• Access Control for Authorised Staff Only – Prevents employee theft by limiting who can enter stockrooms
• Night Vision Cameras & Remote Monitoring – Ensures fast response times even after hours

Without security

• Constant inventory loss from theft
• Unauthorised people accessing stock areas
• No proof for police reports

Security systems pay for themselves by reducing shrinkage and preventing theft. A spokesperson for Auckland CCTV commented “security is one of those things that you don’t need until you do. Once you have a crime incident, you will wish you had some surveillance cameras at the time”.

2. Protecting Against Vandalism & Property Damage

Vandalism costs thousands in repairs every year. Graffiti, smashed windows, and property damage all lead to unexpected expenses.
For example, consider a smashed storefront window – it may cost $2,000 or more to replace. If a business is repeatedly targeted, the costs add up fast.

With security

• Perimeter Control with CCTV – Detects intruders before they cause damage
• Motion Detection Alarms – Alerts security teams when someone trespasses after hours
• Remote Monitoring for Industrial Business Areas – Stops damage before it happens in high-risk zones in Auckland, NZ, like Onehunga and East Tamaki
• Fast Response Time – Immediate action prevents expensive repairs

Without security

• Expensive window & door repairs
• Vandals target businesses repeatedly
• Increased insurance costs due to claims

Businesses in high-risk areas should always invest in commercial CCTV installation to protect their property.

3. Lowering Insurance Costs & Improving Coverage

Higher security results in lower insurance costs. Insurers reward businesses that invest in CCTV, alarms, and access control.

Using our example of New Zealand as a location – the reality is insurance claims for business crime have risen 26% in NZ, according to IAG.

Businesses in industrial areas like Onehunga and East Tamaki face higher premiums without security measures. Some insurers offer up to 20% discounts for companies with monitored alarm systems.

With security, your business has fewer claims, which results in lower premiums over time. Additionally, strong security measures result in better coverage options. For example, a company with CCTV and business security alarms can save hundreds per year on insurance.

The opposite is true if you choose not to have business security. Higher insurance premiums and frequent claims for theft & vandalism. Some businesses may also be denied coverage.

Insurance savings add up yearly, making security an incredible investment for small and large businesses.

4. Reducing Operational Disruptions & Business Downtime

The financial impact is massive if a business is forced to close due to a break-in, theft, or damage. For example, a warehouse break-in that leads to a week-long closure could result in tens of thousands in lost revenue.

With security

• Live Monitoring & Fast Response Time – Stops intruders before they disrupt business
• Smart Access Control – Ensures only authorised staff can enter key areas
• Night Vision Cameras – Catch criminals before they damage equipment

Without security

A business will likely lose money from forced closures. Plus, theft & vandalism will disrupt operations, and customers may choose to go elsewhere after break-ins.

A single security investment can prevent months of lost revenue.

5. Boosting Customer & Employee Confidence

When a business has strong security, customers feel safer, and employees work confidently. Higher customer trust results in more repeat business. Lower employee turnover also saves the business money with fewer hiring and training costs.

Even in less safe locations, consider how a retail store that installs CCTV and alarms is likely to see an increase in customer visits.

Conclusion

Security is a money-saving investment. Many businesses hesitate to invest in security, but not having business security costs far more in the long run. Theft, vandalism, and high insurance premiums drain profits and disrupt operations, leading to avoidable financial losses.

A single break-in can result in thousands in damages, lost stock, and downtime, impacting revenue and customer trust.

Investing in CCTV, access control, and business security alarms helps prevent these risks, ensuring fast response times and continuous protection.

Engage experienced security providers. For example, NZ security installation companies such as Auckland CCTV, which serves the entire Auckland region from Pukekohe to Warkworth, provide tailored security solutions for businesses in retail, warehouses, and industrial areas like Onehunga and East Tamaki.

With modern security systems, night vision cameras, and remote monitoring, businesses can protect their assets and lower long-term costs.

Security isn’t just protection—it’s an incredible investment for small and large businesses.