Legal Aspects you Should Consider When Launching Your Business

Deciding to start your own business is an important decision and the process can seem both exciting and demanding at times. Apart from having a solid business plan, the minimum share capital for starting the company and a proper location, you will also have some legal aspects you should consider when launching your business.

The company registration

Your new company needs to operate under the laws of the country in which you decide to open the business. The corporate law and the tax laws in the country are of utmost importance. Three initial important legal steps before company registration are choosing a business form, selecting an available business name and drawing up the Articles of Association.

Most jurisdictions have similar legal structures to choose from. The private limited liability company is one of the most popular business forms worldwide, though it may be found under a different name. In Germany, for example it is called the GmbH. If you are interested in knowing more about your options in this jurisdiction, you can call a law office in Germany or in your country of choice.

Special permits and licenses

Regardless of where you choose to open your new company, you will need to observe the local laws and regulations for doing business. These include registering the company with the Trade Register but also obtaining additional special permits and licenses from the local authorities or regulators in a certain field. These include permits for selling foodstuffs, for transporting individuals, importing or exporting products and many other activities.

Hiring employees

Business owners need to comply with the local Employment Law. This regulates the minimum wage, holiday leave, and benefits an employee is entitled to. Moreover, employers need to take into consideration the expenses associated with hiring staff. For example, a legal advisor in Ireland can give you detailed information about the social security requirements in this country, which you will have to comply with as the owner of a company that hires Irish employees.

These steps are only a few general ones that you will encounter at the least. We suggest that you contact a lawyer or a company formation expert in the country of choice to find out more about the laws governing foreign investments and company incorporation.

About Mohit Tater

Mohit is the co-founder and editor of Entrepreneurship Life, a place where entrepreneurs, start-ups, and business owners can find wide ranging information, advice, resources, and tools for starting, running, and growing their businesses.

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