You started a small business a few years ago with the aim of making some money on the side. You did better than anticipated and were able to make it your full-time vocation. The business has continued to grow and you’re looking to take it to the next level.
As your company gets bigger, it’s likely that you’re going to have to adhere to further regulations and different laws than when you first started. Outlined below are some of the more important factors to consider before taking your next steps.
1. Environmental laws
The majority of companies produce at least some waste and pollution. In recent years, legislation has been shaped to try and keep this to a minimum. Smaller companies may find these regulations easier to abide by, but the larger your business becomes, the more challenging it can be. As you expand, you might want to consider ways of reducing waste so that you stay in line with legal provisions. This will help ensure that your company avoids costly fines and other penalties.
2. Does the structure need to change?
You started out as a sole proprietorship as you expected your business to be a side project. Now that you are full-time and expanding, this structure really doesn’t suit your needs. You might want to look into other business structures, such as a Limited Liability Company (LLC) or Corporation. These structures can help to separate your personal finances and property from your business assets, which offers you further legal protection.
There are numerous factors to consider if your company is getting bigger. Having someone behind you who knows about business law makes it more likely that you’ll stay on the appropriate path.