The first piece of advice I have for companies is to not ignore the law or expect it to change.
There’s a lot of hype on social media and in the press about how the law doesn’t apply to start
ups and that they can do whatever they want, but this is just not true.
I’ve seen many companies get into trouble by ignoring what the law says and then trying to
argue that they didn’t know better, or that their product wasn’t really illegal. This doesn’t work
as a defense because ignorance of the law does not excuse behavior.
The best thing for any company is to take steps to ensure that they are complying with all laws
governing their business activity from the beginning. It’s much easier (and cheaper) to avoid
legal problems than it is to deal with them later on when things have become complicated and
expensive!
There’s a saying that goes, “Ignorance of the law is no excuse.” It’s true, and it’s especially true
when it comes to business.
In fact, it’s often said that ignorance of the law is not only no excuse but also a crime in itself.
As a business owner, your first step should be to find out what the laws are and how they apply
to your industry, then make sure you’re in compliance with them.
You may think this sounds like overkill or unnecessary bureaucracy — but taking these steps
can save you from serious headaches down the road. For example:
If your company isn’t registered as an LLC or corporation in your state or country, you could
face personal liability if anything goes wrong or someone sues (or threatens to sue) your
company over something related to its business activities. If the matter goes far enough and all
legal avenues have been exhausted, creditors may come after your personal assets — including
bank accounts and home equity — if there isn’t enough money in the company accounts or other
assets held by the company (such as property).
Don’t ignore the law or expect it to change.
