When you own a small business, there is always the danger of crippling litigation. Being prepared for it should be one of the things that are at the top of your priorities. Legal issues, can take you by surprise and damage your bottom line quite dramatically.
Let’s take a look at five of the most common legal issues that you may face as a small business.
Unhappy Employees
As a small business owner, this may be one of the most common legal issues that you may come across. The employee has rights, with grounds for ‘wrongful termination’ and for some, unions, being the most important. When you end a contract with an under-performing employee, you need to ensure you have followed the correct procedures and signed the right paperwork, making the dismissal clear. If you are unsure about anything like this, it’s best to seek legal advice from somewhere like bopprelawfirm.com. If you’re not careful, you may be leaving the door open for legal action against you.
Discrimination And Harassment Cases
When faced with the legal ramifications that come with harassment or discrimination (ethnicity, age, sex, gender, or otherwise) can lead to your company facing severe problems. You need to ensure your HR and legal department are equipped to deal with such cases. When you are hiring, make sure you always recruit based on the needs of the business, and the best qualified for the job. It’s also a good idea to hold regular training sessions to help prevent discrimination.
Immigration Audits
As a business owner, it is your responsibility to ensure all your employees can legally work in your country. Make sure you complete audits regularly. If you have employees who are working on a visa, keep track of the expiry date, and request to have an updated permit when they extend it. A surprise audit can be conducted at any time, so you must keep on top of it.
Copyright/Patent Issues
When companies come up with a cutting edge idea, particularly in sectors like technology, there is often aggressive patent litigation that follows. Unfortunately, you may find some companies sit on patents for years in the hope that someone will violate them. Why? So they can gain money from patent and copyright lawsuits. Do not become a victim of these lawsuits.
Unhappy Customers
When a customer is dissatisfied, they can choose to file class-action lawsuits against your business. Customers can gather in larger consumer groups and attack your company because of faulty products, promises, or services. If there are enough unhappy customers, class-action lawsuits can cause a lot of damage. They can cost you a lot of money and damage your business brand and reputation.
These are some of the most common legal issues that you may face as a small business. Have you had to deal with any other matters? Please share some tips in the comments below.
Carolyn R. Owens has over 25 years of proven experience and serves as a Career Strategist, Leadership, and Life Coach. She is the Chairwoman and CEO of Infinity Coaching, Inc., where they help you up-level your skills so you can up-level your income. Infinity Coaching, Inc. provides one-on-one and group coaching, organizational training, and personality assessments. Carolyn is certified to give both The Energy Leadership Index Assessment and Myers Briggs Type Indicator (MBTI) Assessment. You can find out more about both assessments and other products and services at https://infinitycoaching.net.
