Starting off a new venture may bring in a lot of challenges and opportunities, starting a new business in India demand the entrepreneur to understand the legal framework of the nation. Although there are many laws that a startup should know but here I have enlisted the 5 most important laws that one should know before he/she plan to enter the world of business:
Basic knowledge about accounting and tax related laws - Irrespective of the type and size of your firm, accounting, and taxation laws are applicable on every firm and once, before starting off a new venture you should thoroughly go through the laws pertaining to these two fields. It is also advisable that one should keep the record of the entire accounts related details ad run through them after regular time period to make sure that everything is on track
Type of venture - before you begin to execute your idea, it is important that you work on the type of firm you want to open, there are various options like Private Limited, Public Limited, LLP, NGOs, Sole proprietorship and each of these firms have different tax implications, once, you should run through the pros and cons of each type before head for registering your firm and executing your idea.
Information of Technology- If you are starting your business in today's time then IT or Information Technology is something which you cannot afford to ignore. If you want to gain market share you should make an effort to learn about different IT tools that will help your business flourish and at the same time, you should know about various IT laws pertaining to your business and sector under which your business falls. As an entrepreneur who is newly starting a business should now about e-contracts, cloud computing, digital signatures, protecting the private data of the organization etc.
Labour Laws- Whether you are starting a small business or you a have an established firm, you will definitely need a staff or you may even plan to outsource the talent pool under any circumstances it is important you should understand the legal nitty-gritty of employee and employer relationship which is guided by labour laws.
If you fail to abide these laws you might not only face financial repercussion but may also face legal problems and hence, it is always advisable that you should get a complete insight on the labour laws applicable to your firm.
Corporate governance- Every businessman dreams of expanding their business and understanding of corporate governance will help in the expansion plans.
Takeaways - All this information is easily available on the internet but as a wise businessman you should always seek the expert opinion. Empressalegal is a dedicated platform to help the newbies and the experienced businessman to understand the legal framework of India and use it for the benefit of their business. You can connect with us on empressaleglal.com.