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Every startup needs to satisfy these top 5 legal needs before properly scaling the business. These are aimed at safeguarding interest, protecting IP, and complying with laws. Read about each below.
Top 5 Pressing Legal Needs of Every Startup
Minimising risks associated with your offering: Terms of business
Terms of business is a document that can help secure your rights and responsibilities as a business to ensure that you are protected from risks such as non-payment, disputes or even legal action. It’s important to include necessary language in the terms of business so that all parties understand their obligations and limit any potential liabilities. By having a formalised agreement with clients, you will have peace of mind knowing that you won’t be taken advantage of and your business is better protected against any unforeseen circumstances.
Compliance with employment regulations: Employment/self-employed contracts and HR documents
These documents are an essential component of any business. It is important to ensure that all employees have the required documents that protect both parties and comply with employment contract laws. Having these in place will also ensure that everyone knows what is expected from them and clarifes roles, responsibilities and pay.
Safeguarding IP: Trademarks, copyright, designs, trade secrets and patents
These help protect and monitor your intellectual property from misuse or abuse by third parties.
Trademarks are used to protect distinctive signs, such as words, logos, slogans or designs used to identify the source of goods and services. Copyright is the law that protects original works like books, paintings, music and other creative works from being copied without permission. Designs help protect the appearance of products, including their shape and configuration. Trade secrets are confidential business information not known to the public, such as recipes or formulas. Patents are used to protect inventions from being produced by others without permission.
It is important to know and understand your rights under intellectual property law so that you can take steps to protect your business interests. Seeking the advice of an experienced IP lawyer is recommended in order to ensure that all legal requirements are met and your brand is protected.
Proper corporate compliance: Shareholders’ agreement, minutes & certificates
In order to ensure proper corporate compliance with all applicable laws and regulations, shareholders should enter into a shareholders’ agreement that addresses the rights and obligations of each party. This document should include provisions for how disputes will be resolved, how decisions are made, and how future capital investments or expansions are handled. Additionally, minutes from all shareholder board meetings should be taken to document any decisions made.
Finally, all shareholders should be issued certificates of shares, which outline the ownership rights and interests of each party. By having these documents in place, companies can ensure that they are correctly adhering to corporate compliance measures.
For any of your IP, corporate or commercial legal needs, contact GZ Legal. Visit GZ Legal’s website here.