Hello!

5 Comments

It’s easy to get caught up in the whirlwind of running your own business, but it is vital to stay on top of the legals.

The legal world can be overwhelming at the best of times, but it doesn’t have to be! If you follow these simple steps and seek the help of a professional, the legal work for your business can be as simple as 1, 2, 3. Don’t risk it – inadequate legal protection could quickly turn your dream business success into an expensive nightmare! This article will cover 4 common legal mistakes made by small businesses so you don’t make the same mistakes.

Choosing the wrong structure

Choosing the best structure for your business is crucial. It affects your risk exposure, legal and financial obligations, reporting requirements, and sets the scene for your growth prospects. The four most common business structures in Australia include:

(a)  Sole trader

Tried This? RATE IT Now…

Image of Nando’s Hot PERi-PERi Sauce 250g
Nando’s Hot PERi-PERi Sauce 250g

Submitting your rating…

(b)  Partnership

(c)   Company

(d)  Trust

Each of these has different pros and cons so it helps to get legal advice. An experienced business solicitor can help you select the structure that best protects your personal assets, minimises your tax, and takes advantage of other benefits afforded by the law.

Inadequate IP protection

Intellectual property (IP) is an extremely valuable asset for businesses so you want to make sure it’s protected. This ensures other individuals and businesses cannot copy your ideas or compete for your share in the market.

Also, you need to protect your brand. This includes features such as your business name, logo, product design, jingle or slogan. The main types of intellectual property protection are:

(a)  Trademarks

(b)  Copyright

(c)   Patents

(d)  Registered Designs

Each of these differ in relation to how they are attained, the types of assets protected and the rights and privileges granted.

Inadequate digital protection

We live in a digital world. Therefore, it is now more important than ever that you get the legals sorted for your website. Some of the essential features include:

  •       Terms of Use Agreement
  •       Privacy Policy
  •       Spam Statement
  •       Email & Blog Disclaimers, etc.

If you miss just one feature or clause in your T&Cs, your business could face huge liability!

So many businesses have gone under due to inadequate digital protection and we’d hate to see that happen to you.

Legal D.I.Y

While doing it yourself is the latest popular trend, there are some things you really shouldn’t do all by yourself – and the legals for your business is one of them. Sure you could save a few dollars upfront, but not working with an experienced lawyer can cost you a lot more in the long run!

There is so much involved with starting a business, and much of it requires an in-depth understanding of law and business. Get a professional on your side to give you peace of mind that your business is legally protected.

Do you have any other tips for business? Share with us in the comments.

  • make sure that you are doing everything by the book

    Reply

  • Thankfully, I don’t have my own business. But fantastic advice for anyone who does

    Reply

  • When registering your business and taking out insurance make sure the official documentation is correct. Double check the documents you initially fill out and keep copies of them. One business I know of the name was spelled incorrectly and another one was company vehicle insurance – the policy had the wrong registration number on it. Legally the vehicle wasn’t insured and it was on the road being used. Quck visit to the Insurance Company office to get it rectified and new documents issued and the owner waited for them.

    Reply

  • Thanks for the information. It would be good to have more information on the definitions for the dots pots. An area where more information would be good as it seems rather complicated.

    Reply

  • All great tips to consider,thanks!

    Reply

Post a comment
Like Facebook page

LIKE MoM on Facebook

Please enter your comment below
Would you like to include a photo?
No picture uploaded yet.
Please wait to see your image preview here before hitting the submit button.
Your MoM account


Lost your password?

Enter your email and a password below to post your comment and join MoM:

You May Like

Loading…

Looks like this may be blocked by you browser or content filtering.

↥ Back to top

Thanks For Your Star Rating!

Would you like to add a written rating or just a star rating?

Write A Rating Just A Star Rating
Join