Consider professional indemnity insurance or other forms of business insurance to protect against possible claims such as negligence
Small businesses are being provided with a simple-to-follow checklist to help them start out on the right foot and maximise their chances of survival.
It’s been set up by the Law Society after recent research which found that while small businesses are the essence of the UK economy, many owners are unaware of the importance of speaking to a solicitor to make sure their business is properly set up. Studies have found that 55% of small businesses don’t last beyond five years.
Here are the Law Society’s top five legal tips for small business owners and entrepreneurs to follow when they set up a business:
Choose the right business structure (sole trader, partnership, limited liability company, LLP)
Formalise contractual arrangements with stakeholders and interested third parties such as investors, lenders, suppliers and distributors
Register for VAT and understand tax obligations and implications
Consider whether professional indemnity insurance or other forms of business insurance is necessary in order to protect against possible claims such as negligence
Register intellectual property and trademarks.
The Law Society’s Find a Solicitor service allows people to search a database of more than 140,000 solicitors, by geography and area of expertise.
The Law Society is the independent professional body, established for solicitors in 1825, that works globally to support and represent its members, promoting the highest professional standards and the rule of law.