5 Obstacles to Navigate in Business Law
Business law is a fascinating area of the law that overlaps with many other interesting law areas that when merged, provide a host of unique challenges for lawyers to tackle. Business lawyers in Melbourne are tasked with navigating clients through a myriad of both obvious and unforeseeable legal challenges that can arise in the course of running a business. A business lawyer must be adaptable and calm under pressure whilst possessing the willingness to continually update their knowledge of business law when not actively practicing. This article will go over five of the biggest obstacles business lawyers can help business owners navigate.
Choice of Entity
When starting a business, the first decision that needs to be made is what legal structure the business will adhere to. There are several common structures and forms that businesses end up taking, each with its own distinctive set of pros and cons. A business entity will typically be a sole proprietorship, a partnership, a limited liability company or a corporation. Business lawyers in Melbourne can help new business owners to select the appropriate entity choice for their business and file the necessary paperwork to register the business as such.
In order to get a business off the ground, capital will usually be required. Business lawyers in Melbourne often help clients navigate the complex world of raising capital, whether it be through equity funding, debt financing or a combination of both. Business owners and start up founders often need to raise successive rounds of capital as their business or company grows. Business lawyers can also help their clients find new opportunities for funding as well as make them aware of any business grants they may be eligible for.
There are a variety of tax considerations that need to be taken into account when running a business. Business lawyers in Melbourne can help clients minimise their tax liability and comply with all applicable tax laws. Due to the fluid nature of business financial laws, it’s important that business owners stay on top of what they’re meant to be paying for at all times. However, most business owners simply do not have the time to stay up to date with all of the latest tax laws for their industry. This often leads to business owners incurring some kind of financial penalty, which can lead to their business struggling to make up for the loss. Having a business lawyer on hand is the most efficient way for business owners to navigate this obstacle.
Depending on the industry, there may be a host of regulations that a business needs to comply with. Business lawyers in Melbourne are often tasked with helping their clients navigate these regulations and ensure that their business is compliant at all times. Again, compliance regulations are fluid and subject to change, similarly to business finance and tax laws. It’s almost impossible for a business owner to be across these areas as well as the running of their business simultaneously. Business lawyers perform an important role in helping to take some of the information overload off of business owners so they can better focus on building and managing their business.
Unfortunately, even if a business owner does everything correctly, sometimes a business dispute is simply unavoidable. This can result from an accident occurring on workplace grounds or from a simple error made on employee paperwork. Perhaps the most important job that business lawyers in Melbourne perform is helping their clients resolve these disputes in a timely and efficient manner, whether it be through negotiation, mediation or litigation.