Opening a business is a worthwhile venture, but there are some legal hurdles you have to overcome before you can launch. Having the correct documents is crucial to avoid lawsuits and fines later on.
We have come up with a list of some essential documents you should get to aid in the smooth running of your business.
A business plan might not be a legal document but is one crucial document required at the start and growing your business. A good business plan contains details of the business, employee, and director information. It also details targets and how to reach them.
A business plan is a good road map for success plus having this document ready is essential if you ever intend to sell the business. It details objectives laid out and helps in the valuation of the business with an assessment of goals reached and future objectives.
An owner’s agreement should also be included in this case to clarify day-to-day operations and delegated duties. This agreement gives a clear picture of ownership, intellectual property, and equity allocation.
Documenting all happenings in crucial business meetings is a requirement in several states. Minutes keep an official account of what happened in a particular meeting. The document can be crucial to settling future disputes and clarifying decisions made.
Having detailed minutes is essential as this is a corporation’s documented history. The minutes should include the type of meeting, time and location, what was discussed, any votes made, and who made them.
Writing good meeting minutes revisitedI'm not sure why people are writing a lot of minutes at the moment (or at least looking for information about it), perhaps it's to do with the fact that our roles are becoming more diverse and we're being asked to do tasks that
Company Bylaws For A Corporation
Most states have this down as a requirement for every business. However, it’s still a good idea to have them even if they are not a legal requirement. The bylaws dictate how the company should govern itself, settlement of disputes, leadership, and shareholder rights and powers.
This document details the obligations and expectations of the company and the employees to curb future disputes. An employment agreement is not required for all hires but is essential to protect from employees leaving early or leaking information to rivals.
According to a top Edmonton commercial lawyer, you need proper employee contracts to avoid common issues between businesses and their employees. They are good at keeping your business safe from future employee legal issues.
Businesses need to protect their models which means holding proprietary information with high regard. A confidentiality agreement can therefore protect you from this eventuality.
The agreement should clearly state what information is confidential, how it should be handled, and who owns it. They should also indicate how long the information should remain confidential if it should be made public eventually. If you are not sure how to compose non-disclosure agreements or any other contracts, there are plenty of free templates online to download and use.
Business Licenses And Permits
As a business venture, you are required to obtain specific licenses from local authorities to commence operations. You can obtain the license from local or county government officials.
Professionals such as doctors, teachers, and the like have to obtain speciality licenses to ensure they can conduct the business.
Permits may also be required for parking, fire, and other business-required services. Most of these documents can be obtained from area government offices.
Whether you are starting a partnership, limited company, or a sole proprietorship, having the required legal documents will make operations more straightforward and less legally tricky.
The above pointers should have you on your way to a legally sound business. Remember to always seek legal rights from the onset.