Starting your own business can provide you with a great sense of fulfillment, and there’s more exciting than living your dream. If you are an entrepreneur who dreamt about owning your business and now finally has accomplished it, you must be extra careful with the things that can have a negative impact on your business.
Legal matters are one of those things that companies don’t deem necessary unless trouble occurs because they are certain that nothing will go wrong, which is not valid in most cases. You cannot be certain about anything in business, and that’s the beauty of it. Legal matters can cause much more damage than people think which is why it is better to be prepared and cautious about these things, and legal advice services can help you with it.
Here are some pieces of legal advice for startups so you can avoid some, if not all, problems in the future.
1. Business Name
One of the first things that should be dealt with utmost diligence is the selection of the business. Your business name is your brand for all your life, and it is important to put as much effort as you can into it.
Getting excited about deciding the name is natural, but you must do thorough research to ensure that no other business has a similar name because if you slack off and name your business without research, the other company might have legal problems for you, and it won’t be beneficial for your business at an early stage.
After you do thorough research and name your business, the next thing you must do right away is register your business name as a trademark so no other company in the future can own a similar name.
2. Employment Contracts
As a startup, you must have a lot on your plate, and in these cases, businesses often don’t put much attention into employment contracts which turns out to be a bigger problem in the future. The legalization of employment is essential.
As the employer, you must provide the employment contract on day one. You must cover the policies that include all statutory rights, including discipline, grievance, maternity, flexible working, etc. It is also recommended to clear the expectations that the employer has from the employees and provide health and safety benefits to them. It is the employer’s duty to have health and safety policies in place for their staff.
3. Share Responsibilities
This step is only applicable if you have shared business or multiple shareholders. A fair distribution of responsibilities is essential in this case in the form of a shareholder’s agreement. It will not only help your business run more smoothly without any conflicts, but it will also create a good image of your brand, and investors will want to invest in an organized business.
4. Put Contracts In Place
Getting everything in writing is one of the first rules in business, and if you fail to do it, there is a higher chance of getting caught in legal matters. Whether it’s with your employees or clients, a contract and agreement are the first steps in building any relationship. The contract has to be reasonable but beneficial for both parties and be clear and concise in its terms and conditions.
If your supplier is manufacturing something for you, it is best to have a contract that ensures the delivery and the ownership of intellectual property.
5. Get Professional Help
There are many more things that startups should work on, and there’s no other way to learn about them than without getting professional help. Shikana Group provides legal advice services in Tanzania to help businesses take necessary precautions and prevent legal matters as efficiently as possible.
If you are looking for an expert team to guide you along the way, contact them, and their lawyers will help you to the best of their abilities.