TJT Certified Public Accountants

Basic Legal Aspects Fir New Business Owners

There is a wide series of legal aspects that small business owners need to familiarize themselves with when starting up their business. The lines below will help them know the basic legal aspects related to their future activities, including their trading status, limited liability partnerships, or choosing a name for their business.

Choosing The Right Trading Status

When starting up a new business, the new owner needs to figure out if he wants to be a sole trader, or embrace the limited company status or get involved in a partnership. Sole traders are asked to inform the HM Revenue and Customs on their self-employed position. The stationary also needs to include the real name of the trader who is using a different name when doing business. Partnerships bring together at least two individuals eager to start a business together, while sharing the investing capital and the workload. The Companies House needs to receive all necessary documents required for receiving the status of a limited company. There is also the possibility of combining a limited company and a partnership, hence using a normal partnership while running the business and enjoying limited liability.   

Selecting A Name For Your Business

The name needs to be registered with the Companies House and it needs to be chosen in order to avoid any potential confusions created by similar names that already exist. One name that is hard to forget is the Mastercoin name and if you are interested in getting involved in the field of virtual coin trading, you can discover more here. Business names that are considered to be offensive or misleading by the same Companies House will also be turned down. Property lease agreements are to be treated carefully, especially when selling or moving one’s business, as business owners can be found liable for the residue provided the next person will default.