Setting up a new business is an exciting, challenging and rewarding time. However, it can also be fraught with legal difficulties and uncertainties, and it is vital to get it right first time to avoid potential stress and costs down the line – our top tips are designed to help you establish your company in the most sensible way and ensure its future success.
1. Get Legal Advice
Make sure you stop legal issues taking the fun out of founding your own business by seeking professional advice from a solicitor. You can talk through your business plans and your solicitor can highlight potential difficulties and suggest ways to overcome these – preventative measures are far cheaper and easier to handle than rectifying problems at a later date.
2. Choose A Solicitor
As well as common challenges facing a new business, your solicitor can tailor advice for your particular company, based on its structure, finance, size and more, and help ensure you consider every aspect – from the type of business you are going to be whether that is a limited company, partnership or sole trader. A solicitor can advise on the legal aspect surrounding your business premises from advice on leases or purchasing property and the tax implications through to insurance benefits and finance options. Furthermore, finding a solicitor you can turn to when needed provides peace of mind, especially as legal changes happen often, in particular with regard to employment law and Health and Safety regulations. Your solicitor can advise you on how the different changes affect your company, and make sure all your agreements, documents, procedures and contracts are current and legal for maximum protection.
3. Make Terms and Conditions Clear
In every business transaction you have with your suppliers, employees and customers, you need to ensure everything is clearly stated so you have sufficient protection should disputes arise at a later point. Clarifying your Terms and Conditions from the outset gives you a level of security when you sell your goods or provide your services, as well as stipulates your rights, liabilities and obligations. Your solicitor can help ensure the terms are drafted carefully and are both suitable and effective for your business.
4. Structure It Well
The structure you choose for your business will depend on a number of factors, including size, nature, likely turnover and industry. You may want to run your business as a partnership, sole trader, limited liability partnership (LLP), limited company, or franchise. Your solicitor can advise you of the pros and cons of each structure, and also set up the option you want.
5. Put It In Writing
While you may be as good as your word, when it comes to business it is vital you put everything in writing – whether that is an employment contract, a supplier agreement, or your Terms and Conditions. All documents should state their purpose and terms clearly so that every party knows where they stand, and you are protected should a dispute arise.
A professional solicitor can help you ensure your business meets all the legal requirements and avoids potential issues, giving you peace of mind and the confidence to focus on the day-to-day running of your company.
For advice on your business start-up and for help keeping your company legally compliant and protected, contact our commercial law team at our Chorlton office on 0161 860 7123 or Failsworth on 0161 681 4005