As a first-time entrepreneur, it is likely that you will have many questions on your mind. You'll need to answer the following as you get your business up and running:
Don't ever sign on the dotted line before carefully reviewing a business contract. Yes, you want to work quickly because the business world never sleeps, but you don't want to make a mistake that hamstrings your company for years to come. This is especially true if you're a relatively new business owner who is signing one of his or her first major contracts, without much experience to fall back on. Key areas to consider include:
You placed that big order for plates a month ago. You restaurant is scheduled for its grand opening this Friday. Rumor has it that the best and most feared restaurant critic in Florida is going to be there. And you have no plates to serve your guests because your vendor has just notified you that there is a problem with the order. They can't fill it in time.
When you are starting a business, it is great to be optimistic and plan for success. But as any good business law attorney will tell you, you also need to plan for the opposite. If a business is not successful and creditors cannot be paid back, or something exposes the business to a lawsuit, you do not want your personal assets to be at risk.
Selling a business is a process with many complex nuances. You will need an accountant and attorney to make the transaction a smooth one and comply with regulations, such as how the sale will affect your tax bill and net worth.
Congratulations, you have decided to start your own business. But this is only the first of many important decisions that you will be making in the near future. One of the next big decisions you will make is choosing which type of business entity to form.
Well-written contracts are vital to the success of virtually every business. They define legal relationships and obligations. They set clear expectations and outline remedies in the event that one party doesn't live up to those obligations.