Running a business is a demanding way to earn a living, and a potential pitfall could be a lawsuit against you or your company. This article offers solutions to avoid such a scenario.
Running your own business can be a hazardous profession. It may be that you have found a gap in the market, or your company offers a fantastic service that undercuts competitors. Of course, it is never going to be sweetness and roses in the world of business all of the time.
Demand can drop, a local or worldwide recession, or something as unexpected as the COVID-19 pandemic can seriously damage your endeavours. This is before considering a possible multitude of staffing issues. It is vital to have good company procedures in place and rules for all to adhere to. The last thing you need is a lawsuit against your business, and it is a good idea to form a relationship with a company or experts such as BOI company registration lawyers in Thailand or in any country to offer you protection and peace of mind.
Here are 6 pieces of advice to protect your business from possible lawsuits.
Documents & Agreements
Get your documents and agreements down in writing. Signatures to such agreements resolve so many disputes and claims. They help to clarify the rights and duties of each party if you’re sued. Working with a professional law firm will ensure that you receive the best advice to which types of formal contracts you need, from general sales and supplier agreements to employment contracts.
Transaction Records
Record every transaction, including the price agreed and delivery dates so that you have full proof of every conversation, whether on the phone or by email as a point of reference. Protect yourself and your company if recorded on computer by having a backup and strong security in place against hackers or employees seeking retribution over a perceived grievance.
Sound Employment Practices
Ensure that sound employment practices are always adhered to both by yourself and the management team and all employees. Having them as part of the employee contract conforms clarification and no comebacks on either side if the practices are broken. And that includes yourself as a business owner guaranteeing that you act with integrity and respect for others.
Legal Expert
If a dispute arises, then make sure you have your legal expert guiding you through the process so that no loopholes can land yourself and the business in trouble.
Separation Of Personal Finances From Business
Make sure that your own personal finances are separate from those of your business. If the worst-case scenario occurs and you are sued as a business and are required to pay compensation, you do not want to lose everything you possess. Adding an insurance policy to your business for such eventualities is a prudent measure.
Be Mindful Of What You Say
Watch what you say in the presence of others, especially if expressing a view about individuals or other businesses. It is wise to keep personal views away from the gazing eyes of social media platforms and to enlist the expertise of professionals to run your marketing and feedback.
Protect yourself and your business from possible lawsuits by putting in place stringent measures as advised by the services of a professional law firm.