So, you’ve taken the entrepreneurial leap and decided to start your own business! Congratulations! Soon you’ll realize that there are a ton of legal questions that need your attention. Like:
* Should I form a corporation, an LLC, or operate as a sole proprietor?
* What do I need to do to get my business started the legal way?
* Do I need insurance?
There are a variety of the business structures that you can choose from and it’s one of the first decisions you’re going to need to make as a new business owner. Building a business is just like building a house. You’ve got to first get a solid foundation before you can get to the other stuff like putting up your walls and picking out paint colors.
GET IT IN WRITING. YOUR FUTURE SELF WILL THANK YOU. Contracts – the topic is about as exciting a …well, it’s not exciting. Yet, like it or not, contracts are essential to running a business. We cringe every time we hear about a business owner entering into a business relationship WITHOUT a written contract or one that they copied and pasted from samples they found for free on the internet.
Not only do written contracts help clarify expectations between you and a client, they help cover you in the event there’s ever a misunderstanding or disagreement with your client, and they may also support your case in court. An often overlooked, but equally important reason for having written contracts is that they communicate to your clients that you’re a professional and that you take your business seriously.
COMMUNICATIONS & YOUR WEBSITE. Do you have an email opt in on your website? Do you collect credit card information when you conduct a sale online? Or maybe you have Google Analytics or Facebook pixels running in the background collecting data from visitors as they peruse your lovely website? Do you have or participate in an affiliate program? Do you run social media giveaways and promotions? If you answered “yes” to these questions, believe it or not, there are rules about the way you communicate with your customers, your website visitors, or your audience, including:
* CAN-SPAM laws about your email communications
* Privacy Acts and the GDPR about the data you collect from website visitors
* FTC guidance about affiliate relationships and endorsements
* Laws about hosting giveaways and contests
TRADEMARKS & COPYRIGHTS. If you’re creating content or utilizing others content, which as a business owner, you likely are – you should have an understanding of how to navigate the topic of copyrights and trademarks. The topic is a confusing one. These terms are often incorrectly used interchangeably, however, they have their distinct set of laws and apply to different types of works. Copyright law protects “original works of authorship” – things like books, photographs, designs, and more. In contrast, trademark law protects the expression used to identify and distinguish a product or service in the marketplace, like business names, logos, slogans, and other commercial signifiers. As an owner of a copyright or a trademark, you have rights – including the right to keep others from using your work without your permission.
Take stock of your intellectual property rights and protect your valuable content. And just as you wouldn’t want someone using your content without your permission, don’t do it with someone else’s work.
HIRING. Now that you’re running your own business, from time to time you may want to bring on additional employees to help you in your business. Or maybe you’re ready to hire someone to assist you right from the start. Even if you’re not planning on hiring anytime soon, you’ll want to familiarize yourself with what is entailed when you hire help in your business. From proper classification of the workers as either employees or independent contractors to the Do’s and Don’ts or hiring, the laws related to hiring vary widely from state to state.
If you're starting up a new business and need legal advice, give us a call at 253.858.5434 to set up an appointment today. We represent clients throughout Washington and Idaho and are available to meet in person, by phone, or via video conference.