Most Common Legal Mistakes Small Businesses Make

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One of the last things that is on people‘s mind when they start a company are legal issues. Unfortunately, exactly these types of things often drain | drown | sink | go out their company.

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One of the last things that is on people‘s minds when they start a company is legal issues. Unfortunately, it is exactly these types of things that often __________ their company.
Far too many businessmen fail to establish the right legal structure for their company. This usually hurts them when they get __________ by a customer or an employee, or want to get outside investors.
You should conduct thorough research on which legal structure fits you best. Also, small companies often fail to make an agreement stating how issues will be decided between __________ and what will happen if one leaves, dies or gets divorced.
They often get in trouble because they do not have clearly stated company __________ and regulations to guide their team.
If you get advice from a human resource professional about how to formulate these, you might prevent a lawsuit with a former employee, which, in the worst case scenario, can lead to the company __________ bankrupt.
Another mistake is to criticize your competitors publicly or anonymously on the web. You need to consider the difference between __________ and freedom of speech.
By neglecting to apply for a patent, copyright or trademark, you fail to take the necessary steps to prevent another company from taking over your ideas. Have an inventory of the company’s intellectual __________ done and you’ll avoid problems.
Small companies also tend to file too many lawsuits. It’s natural for people to get angry, but suing each other costs both sides a lot of money and takes the decision out of your hands. So, try to __________ first.
You need to secure your website and the customer’s data as well. By protecting your website small businesses can avoid putting themselves and their customers __________ great risk.
Also, you might regret the move to bring in outside investors just because you’re desperate for cash, because that can often lead to disagreements about how the company is to be run. However, the most serious error is not collecting payroll and sales __________ for government agencies.

The best option for you is to set up a separate account for the collection of these and avoid your company shutting down.