Any entrepreneur will know that once you set up a business, life gets slightly more complicated. While you may have a strict focus on delivering good products and services, there are many legal issues which also need to be considered, so your business doesn’t run the risk of being sued. The decisions you make as a business owner are crucial to your company’s reputation and future success, therefore, it’s essential to keep up to date with the most common legal issues and how you can avoid them. 


If you are new to business and in need of some advice on what to look out for, this article will provide a useful list of some of the most common legal issues that businesses face:

1. Business structure

One of the most important decisions you can make as a business owner is determining the type of legal structure to choose for your company. There are several structures to choose from, including sole-proprietorship, partnership, limited partnership, corporation, or a limited liability company. Each business type will have different tax amounts; therefore, you will need to choose a structure that best matches your business goals. It will also create a foundation for the policies of your company and how your business operates. To prevent getting caught up in a lawsuit, it would be recommended to do as much research as possible around each business structure.

2. Employee termination

Most businesses hire employees based on the perception they get in the interview, but once the candidate has been hired and the contract signed, you may discover that they are not suited to your firm at all. Unfortunately, it’s not as simple as firing them on the spot. You’ll need to take appropriate steps before you can legally carry out a termination.Primarily, the contract that the employee has signed should include clear terms and conditions that can lead to permanent dismissal if they are broken. If you have any doubt about the rules and regulations of employee termination, it would be advised to hire a Business Litigation Attorney. A Business Litigation Attorney will give you the correct advice manage the case on your behalf.

3. Trademarks

A trademark is one form of an intellectual property that presents itself as a recognizable sign or name that represents a company. Before choosing both of these business aspects, it would be wise to carry out as much research as you can to ensure you don’t choose a name or a logo that has already been used by another company. If you have managed to quickly think up a business name on the spot, there’s a very high chance that other firms will have already thought of it. Copyright infringement can have serious impacts on your business and may lead to bankruptcy if you get sued.

4. Health and safety

Regardless of which industry your business may be, it’s the employer’s responsibility to ensure that the workplace has the relevant health and safety regulations in place for the wellbeing of employees. A simple incident can occur, which can lead to illness and injury, which puts your business at risk of being sued. Carrying out regular risk assessments limits hazards, while writing up a health and safety policy clearly states the employer’s obligations to prevent danger while employees are in the workplace.