When an entrepreneur in Miami, Florida, prepares to start a new business, the number of factors that must be considered may seem overwhelming. Forbes magazine warns that neglecting to address key legal issues could lead to business litigation, and even complete failure. Something as seemingly simple as the name of the company could cause problems, if it is not thoroughly researched to determine whether the domain name is taken or there is an issue with trademark infringement. A name does not have to be identical to infringe on a trademark, if it is similar enough to cause confusion to customers.
Creating effective contracts for deals with clients is another key element that contributes to a company’s success. Clauses limiting company liability, all aspects of pricing and payment, and how any contract dispute will be handled are some of the features a successful contract will include. While some negotiation and customization will be necessary for each client, the basic format may still be the same, ensuring that all important legal issues are covered.
A company that plans to hire employees should be prepared at the outset with the correct documentation for each. Benefit information, tax forms, confidentiality agreements, stock options and company policies should be prepared before the first worker is hired. The U.S. Small Business Administration points out that employers must comply with federal and state regulations. For example, an employer needs to have workers’ compensation insurance and an employer identification number, and information regarding labor laws, employer responsibilities and employees’ rights must be posted. Because statutes are subject to change, it is best to check for information and updates at the outset.