To date, there has been scant theoretical or empirical research on how terrorism affects business. Our project will answer four main questions about what we have coined as financial resilience: (1) How do businesses respond in the face of terrorism? (2) What are the determinants of their responses? (3) Which businesses are most resilient to terrorism? (4) And how can other businesses enhance their own resilience to terrorism? Our preliminary research indicates that family firms outperform other business types across numerous metrics due to superior social capital. Additionally, businesses appear to bolster their financial resilience by becoming more geographically dispersed and socially responsible. These incipient findings hold potentially profound implications for businesses around the world. With a mixed-methods research design, our project will rigorously test these and other novel propositions about financial resilience and thereby develop a new, actionable, substantively meaningful research agenda of genuine consequence to both academic and policy communities.