The term ‘business’ refers to an organisation or entity that mainly deals with production and commercial activities of goods and services, generally about the organised activities by individuals to make and market these goods and services for profit. These businesses may be small scale or even international corporations.
The concept of business isn’t something new or modern; man has been engaging in business since prehistoric or ancient times. From bartering grains and livestock to online and digital marketing, from stalls to enterprises, business has come a long way.
One thing to remember is that a business entity is not independent of the identity of the business owner, so the owner incurs any debts or fraud suffered by the business. Any loss in business gives creditors the independence to claim the owner’s possessions to settle funds.
Determining the legal aspects of the business is of the utmost importance. There may be the aspect of obtaining licences, securing permissions and warrants, registration and more to operate legally. One also needs to make efficient plans to avoid lawsuits or being sued. Some of the top law firms in Delhi one can consult for their business are Luthra and Luthra, Anand and Anand, AZB and partners, Khaitan and Co., Amarchand Mangaldas, Pheonix legal, PSP legal, JSA, Singh and Associates and many more.
While most don’t seek legal services, it’s advisable to have a lawyer at hand for your business:
Five signs you need to hire a lawyer for your business:
- To efficiently function and maintain your employees: Getting hit by a significant employee lawsuit will be very costly for your company and its better to invest in a good lawyer instead. Having a lawyer on retainer agreement will also prove beneficial in case of employee fraud or termination or personal injury/loss lawsuits. A lawyer is also a must when it comes to hiring or firing employees and for drafting agreements or contracts for employees, investors or consultants. You need to ask your lawyer to write you a contract with clauses to safeguard your intellectual property, and non compete or non-solicitation terms for your protection.
- Making proper business plans with stakeholders or investors: While starting a business, most people seek help from their friends and family. This is all fine at the start, but as time progresses and your business takes off, it’s a necessity to have a written agreement or deal with all your partners or investors. Having a shareholder’s or associate approval will save you from a sticky spot, and a lawyer will help you in professionally drafting and managing the agreement.
- Licensing or protecting your work and intellectual property: Investing a lot of time, effort and money in developing and improving your product or service is excellent- your business will boom. However registering trademarks, obtaining patents or copyrights is a must as it will help in protecting your intellectual property or other assets. Coming to exclusivity and licensing, a lot of legal work is needed, but it’s worth it. Having a lawyer on hire will aid you in determining what kind of protection is required for your business and help you inadequately renew licensing deals or trademarks.
- To make proper agreements or deals with stakeholders and investors: If you didn’t have an appropriate deal of service at the start, you need to get one as soon as you start gaining traction and your client count increases. Having a service agreement which is best suited to your needs and the industry you work in for a while also protecting and reducing your liabilities will only help your business bloom. Such a draft is inexpensive when compared against the value and protection it provides.
- Franchising or opening offices: Most big companies started in someone’s garage. Be that as it may, but once you start expansion, franchising or decide to acquire proper office space, there’s much more to it bargaining or negotiation with the owners regarding the lease. You need to consult a lawyer to make any modifications or changes ahead in time before you sign the contract- signing commercial leases blindly or without reading is an absolute no-no. Using a lawyer for consultation or addition of clauses will ensure you are protected on all fronts.
Though common perception is that hiring a lawyer is both expensive and unnecessary, keeping a lawyer on speed dial has more benefits and uses than one can perceive. It’s what’s best for both you and your business in the long run and short-run as well, and investing in legal services is as essential as investing in your product or service. A sloppy or lazy contract with several loopholes will come back to haunt you later, so caution is advised- hire a lawyer to draft a well-made draft. Many individuals neglect all the legal aspects of their goods or services while they open their business and suffer the consequences for it.
Don’t hesitate to call up an excellent law firm and hire a quality lawyer today to ensure your business is always rising from height to height.
This article is written by Amy Johnes – a legal expert at Ahlawat & Associates – Best law firm for trademark attorney India.