Business Continuity Plan: Definition, Buyer Expectations, and RFP Context

Imagine you’re knee-deep in a security questionnaire, and you come across a section asking about your company’s Business Continuity Plan. You realize that this is not just a box to tick but a critical component of proving your SaaS solution’s reliability. How you answer could determine whether you move to the next stage of the RFP process or get sidelined.

Quick Answer

A Business Continuity Plan (BCP) is a documented strategy that outlines how a company will continue operations during and after a disruptive event. In SaaS RFPs, buyers expect detailed BCPs to assess risk and ensure service reliability.

What it is

A Business Continuity Plan is essentially your company’s roadmap for maintaining operations during unexpected events, such as natural disasters, cyberattacks, or system failures. It involves identifying potential risks, defining key business functions, and outlining strategies to minimize downtime and data loss. The plan should cover various scenarios that could impact your business’s ability to deliver its services.

In the context of B2B SaaS, a BCP is particularly crucial, as clients rely on uninterrupted access to your services. A comprehensive BCP will address not only the continuation of core business operations but also the recovery of IT systems, often intersecting with a Disaster Recovery Plan and an Incident Response Plan. It’s about preparing your business to handle disruptions without significant impact on your clients.

Why buyers ask for it

Buyers ask for a Business Continuity Plan to de-risk their investment in your service. They want assurance that their operations won’t be jeopardized if your service faces a disruption. Particularly for enterprise clients, who may integrate your solution into critical workflows, the ability to maintain service continuity is non-negotiable. A well-documented BCP demonstrates that you can manage risks effectively and maintain operational stability.

How it shows up in SaaS RFPs

In SaaS RFPs, questions about your Business Continuity Plan often appear in sections related to security and risk management. A typical question might be:

“Please provide a detailed description of your Business Continuity Plan, including how you ensure operational continuity during a system outage.”

What evidence buyers expect

• A comprehensive, documented Business Continuity Plan.
• Evidence of regular testing and updates to the BCP.
• Roles and responsibilities outlined within the plan.
• Communication strategies for internal and external stakeholders.
• Data backup procedures and frequency.
• Integration with ISO 27001 standards.
• A timeline for recovery objectives (RTO and RPO).
• Evidence of compliance with SOC 2 controls.

Common vendor mistakes

• Failing to update the plan regularly.
• Overlooking the integration with IT disaster recovery.
• Providing a generic plan that doesn’t reflect specific company operations.
• Lack of evidence for plan testing and simulation exercises.
• Neglecting to assign clear roles and responsibilities.
• Omitting a communication plan for stakeholders.

Good vs bad response example

Good Response: “Our Business Continuity Plan includes a detailed risk assessment, regular testing, and is in line with ISO 27001 standards. We perform bi-annual drills and have a clear communication strategy for stakeholders.”

Bad Response: “We have a Business Continuity Plan to keep operations running. It’s reviewed occasionally and ensures that we are always prepared.”

If you do not have it yet, what to say

If you don’t have a formal Business Continuity Plan yet, you can say: “We are in the process of developing a comprehensive Business Continuity Plan, aligning with industry standards such as ISO 27001. Our current focus is on ensuring data integrity and minimal service disruption, with plans to finalize the document within the next quarter.”

Deep dive guides

• Business Continuity Plan: What Enterprise Buyers Expect in SaaS RFPs
• Business Continuity Plan: How to Handle RFP and Security Questionnaire Questions
• Business Continuity Plan: Evidence and Documentation Buyers Expect in RFPs
• Business Continuity Plan: Common Vendor Mistakes in SaaS RFPs
• Business Continuity Plan: Compliance Checklist for SaaS Vendors
• Business Continuity Plan: Implementation Guide and Best Practices for SaaS Vendors
• Business Continuity Plan: Audit Implications and Risk Assessment in SaaS RFPs
• Business Continuity Plan: Control Mapping and Technical Validation in SaaS RFPs
• Business Continuity Plan: How It Impacts RFP Scoring and Vendor Selection

Related terms

• Disaster Recovery Plan
• Incident Response Plan
• SOC 2
• ISO 27001
• Data Residency

FAQs

What is the difference between a Business Continuity Plan and a Disaster Recovery Plan?

A Business Continuity Plan focuses on maintaining business operations during a disruption, while a Disaster Recovery Plan is specifically about restoring IT systems and data after a disaster. The BCP is broader and includes elements like communication strategies and operational continuity.

How often should a Business Continuity Plan be updated?

A Business Continuity Plan should be reviewed and updated at least annually or whenever significant changes occur in the business that could impact its effectiveness. Regular updates ensure that the plan remains relevant and effective in addressing current risks.

How does a Business Continuity Plan relate to SOC 2 compliance?

A Business Continuity Plan is often a component of SOC 2 compliance, as it addresses some of the security principles related to system availability and disaster recovery. Having a robust BCP can help demonstrate compliance with SOC 2 standards.

Why is it important to test a Business Continuity Plan?

Testing a Business Continuity Plan is crucial to ensure that it is effective in real-world scenarios. Regular testing helps identify weaknesses, improve strategies, and train staff on their roles during a disruption, increasing the likelihood of successful execution when needed.

What should be included in a Business Continuity Plan?

A comprehensive Business Continuity Plan should include a risk assessment, business impact analysis, recovery strategies, communication plans, roles and responsibilities, and procedures for plan testing and maintenance.

Can a Business Continuity Plan impact RFP scoring?

Yes, a well-documented and proven Business Continuity Plan can positively impact RFP scoring by demonstrating your company’s preparedness and commitment to maintaining service reliability, which is a critical consideration for enterprise clients.

What if my company has multiple locations?

If your company operates across multiple locations, your Business Continuity Plan should address location-specific risks and outline strategies for each site. This ensures that all locations can maintain operations and recover effectively during an event.

How does ISO 27001 relate to a Business Continuity Plan?

ISO 27001 provides a framework for information security management, which includes aspects of business continuity. Aligning your BCP with ISO 27001 standards can help ensure comprehensive coverage of security and continuity requirements, enhancing trust with potential clients.