Business Laws and Permits   

Laws may pertain to the type of activity involved. If, for example, you are selling shares of stock you will need to adhere to securities laws and if you are operating a business that sells liquor you will need to adhere to the state alcohol laws. State laws may also dictate how contracts and legal documents will be written and enforced.

Just as you put together a business plan, you need to approach the legal aspect of a business in a systematic manner. Begin with the laws pertaining to the basics of starting a business. Do you need a business license? A permit? What laws pertain to opening a business in your state, city or county? Are you planning to hire employees? Will you be selling goods and therefore charging sales tax? Analyze each aspect of your business.

If you are in business for yourself, for example, you won’t need to familiarize yourself with employee laws until you are ready to hire additional staffers. Likewise, if you are in a service business, you typically won’t need to familiarize yourself with removal of hazardous waste.

Review applicable laws in advance for each aspect of your business as you see it unfolding. Also, review all potential significant legal matters with your attorney. Ask questions and do not assume something is legal because it is common practice among other business owners.

If you should find yourself in violation of a law, take immediate steps to rectify the situation. Depending on the severity of the law, you may only receive a warning or a small fine from the local authorities. Typically, you will be given a time frame in which to make the appropriate corrections. 

 Zoning laws can often frustrate a new business owner. While you may be legally allowed to open a specific type of business in the zoned area, you will often discover that these laws affect how you may conduct your business. It is important to take some time to familiarize yourself with all municipal, commercial and/or industrial zoning laws that could pertain to your business and ask questions of the local Chamber of Commerce and/or other business owners to make sure you are adhering to the details.

Find business license information at..

www.sba.gov/hotlist/license.htm

Business Laws and Permits

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