6 Legal Implications of Owning a Business

Starting a business can be an amazing experience. If you play your cards right, you’re setting yourself for a new and very profitable venture. The best way to ensure your total success is to prepare yourself legally. All of the proper preparations need to be made. Here are the top 6 legal implications of owning a business to be aware of.

1. You’ll Need Legal Representation for Your Business

Before you do anything else, you’ll need to first have expert legal representation for your new business. This will be the move that gives you the best level of security against lawsuits and other types of legal action. Some of these legal considerations vary from state to state, so be sure to find the right services in your place of residence. For example, hiring the services of a Seattle L&I attorney will give you the best defense of arbitrating disagreements and avoiding future legal charges specific to the state of Washington. 

2. You Need to Formalize Agreements with Employees

Another area where you will need the assistance of a qualified attorney will be in formalizing agreements with your employees. If you are just starting a new business, you may be tempted to handle everything with a handshake agreement. This may work for a time in some situations but will not be a very efficient solution for the long term.

The truth is that disagreements can arise at any moment for any reason. The only way to make sure that you get the best end of the deal in these cases is to formalize it all in writing. Every part of your agreements with your workers needs to be set in stone via a formal contract. This contract needs to be overseen by a legal expert.

3. You Need to Protect Your Intellectual Property

Another area where you will need to be aware of diverse legal implications will be in protecting your intellectual property from infringement. All of the elements that make up your brand, from your company name and logo to your various slogans and “secret recipes”, need to be fully protected under the terms of the law.

These are the rights that you need to vigorously defend. You also need to be aware of the possibility of accidentally infringing on someone else’s intellectual property. Always check to make sure that your company and domain name aren’t already in use or being reserved for future use by another party. This will save you a lot of trouble.

4. You Need to Resolve Disagreements with Partners

One of the most unfortunate legal implications that you need to contend with is the possibility of getting into disagreements with your own partners. If this occurs, you will need a contractual agreement in place that governs the terms of dissolving the partnership. This will keep you from wasting time and money in a tedious court battle.

You should have a company lawyer in place who can help you arbitrate disputes with partners so that you can keep the peace and keep the company running smoothly. If all else fails and you have to part, you should have a lawyer handy to make sure you don’t lose your business.

5. Your Physical Property Needs to Be Secured

You need to have legal agreements in place regarding the disposition of any physical property owned by your business. This is one more area that needs to be set in stone via contract. Try not to sign any multi-year agreements with a landlord. Going year to year is the best way for a new business to proceed.

6. Make Sure Your Data is Fully Protected

The data that you collect needs to be done in accordance with international law. There are different regulations that apply in other parts of the world that you need to be aware of. It’s a good idea to have legal counsel advise you on all matters related to data collection.

It’s Time to Secure Your Business Future

The future of your business should never be in any kind of jeopardy. The best way to make sure that you stay out of legal trouble is to recognize the implications well in advance. Doing business in the modern world brings plenty of challenges. You will need to know how to keep your business on track with the help of an expert legal adviser.