In our previous article, we shared the possibility of launching a business even in this pandemic, and how that you can hit it real big despite the bleak times the entire world is in.
In this article, we’ll be addressing the legal factors you must put into consideration before launching your business. Laws they say, is what makes us different from animals and ignorance of the law has never been, is not and will never be an excuse to violate the laws that guide business operations in Nigeria.
Violation of business laws can result in fine, financial loss, or worst still closure of business and other terrible consequences. Hence, to ensure that you start off on the right note and to reduce the likelihood of making costly mistakes that will negatively impact your business, you need to prioritize the following legal factors:
- Business structure: Every business is different and you will have to determine the most suitable structure for your business, as it will affect how the business will be run and taxed, amongst other things. To learn what structure you should adopt for your business, you can send a message here.
- Business name or Company Registration: Your customers/clients will come to identify your products/services with your business name, so you have to choose wisely. Before selecting your business’ official name, perform a meticulous search first. Find out if there is another business operating under the name you’ve come up with for your new venture. Once you’ve decided on a name, it is advised that you register it with the Corporate Affairs Commission (CAC) to prevent others from registering their businesses with your name. In choosing a name for your business, it is important for you to be futuristic and global in your thinking so that in years to come, you don’t box yourself into a tight corner. You can send a message here, should you need help picking a name.
- Licenses: You may need several types of licenses/permits to run your business. The kind of license required depends on the type of business. For example, if it’s a food production company, you’ll need to register with the National Agency for Food and Drug Administration and Control (NAFDAC), and if it is exportation, you have to obtain license for that too.
- Relevant health and safety laws: As a business owner, you will have to assume several important health and safety responsibilities, most especially in light of all the directives of the Federal Government as a result of COVID-19. These include ensuring that your employees work in a safe, healthy environment, as well as look after the well-being of anyone including clients and visitors inside, outside, and near your business premises.
Other processes you may need to consider include obtaining trademark for your trade name so that it becomes exclusively usable by you, e.t.c
Starting your business sounds really exciting and all, but you have to go through so many processes, so much so that your excitement can easily dissipate just thinking about them. This is why it is advised that you get a professional who is knowledgeable in business law and who will help you go through the necessary processes correctly and efficiently.