I know many people that want to start a small business. They get excited about the prospect and think they know everything that’s required to succeed. But, what a lot of newbies don’t know is that there are loads of legal business issues. There are so many legalities your company has to be aware of.

Below, I’ve listed some of the main issues, with tips on how you can deal with them:

Intellectual Property Issues

Lots of small businesses run into issues with intellectual property. For those that don’t know, this revolves around trademarks and copyright claims. Your business can end up in a lot of trouble if you don’t deal with this legal issue. Firstly, you have to ensure you don’t breach someone’s intellectual property rights. What this means is that you can’t steal someone’s business name and logo if it’s trademarked. Likewise, they may have patents on certain ideas that you can’t use either. A good example of this is with coffee chains like Starbucks. They’ve put a trademark on the term ‘frappuccino’ meaning other coffee chains can’t use it. If your business gets found to have breached someone's trademark, then you could receive fines and be embroiled in a legal battle. There are loads of examples of big companies paying out millions in intellectual property disputes.

On the other side of this coin, you need to ensure your rights are protected. It can be very damaging to your business if you don’t take intellectual property seriously. Other companies can swoop in and steal your ideas and claim things as their own. They will then trademark the ideas, and you could get punished for using them! It’s a terrible situation to be in, and you can avoid it so easily. Getting something trademarked is so easy in this day and age. There are many sites online that let you do this.

Registering Your Business

A little known legal issue is that your business needs to be registered. Unless you’re in the loop, it’s likely you won’t know about this. Someone will mention it, and you’ll quickly panic and start registering. You need to register, so the government has a proper address for your business. Every company needs to do this, whether you work from home or have an office somewhere. On sites like yourcompanyformations.co.uk, registered office addresses can be found. What this means is that you can buy an address for your business to be registered to.

Some companies do this as they don’t want to disclose the location of their trading address. If you’re happy revealing your trading address, then you can always use it as your registered address too. Regardless, registering your business is an essential legal requirement.

Treatment Of Employees

Poor treatment of employees is one of the main causes of business lawsuits. As a business owner, you have to be aware of all the legal issues surrounding your staff. Their rights are protected by numerous laws. This means that if you treat them poorly, they can sue you for a lot of money. There are laws involving discrimination, prejudice, sexism, sexual assault, etc. Then, you have things that are concerned with your working environment. You must provide a safe place for your staff to work. Put them in danger, and they can sue, again! When you go through all of the things covered in employee rights, it’s a very long list.

Thankfully, avoiding any issues is so simple. All you have to do is treat your employees how you want to be treated. Be a decent human being and don’t breach their rights. You can’t overwork your employees or underpay them. If you get found to be committing wrongdoings, it could be curtains for your business.

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Paying Tax

It’s a legal requirement for all businesses to pay tax. The amount you pay depends on your turnover and expenses. Many small businesses get in trouble with the tax man because they avoid tax. Or, they try and get away with paying less. Don’t do this, you will put your business in a dangerous position.

There are tonnes of helpful tools for dealing with small business tax. Sites like uktaxcalculators.co.uk can help you plan your tax payment. My advice is to get tax out of the way as soon as you can. Don’t leave it last minute, as you run the risk of making errors. Pay what you owe, and you’ll avoid getting in legal trouble.

By dealing with these issues, your company will benefit, fast! You’ll avoid any trouble, and will be set on a much smoother path. Take all of this information on-board to iron out any legal bumps in the road.