Why A Thorough Grasp of Business Law May Save You a Fortune

As a business owner, you have to understand the ins & outs of your business operation, including aspects related to business law as well as how it works for your brainchild. These often-underestimated things do affect your long-term decisions and may cost you a fortune upon wrong practices.
Why A Thorough Grasp of Business Law May Save You a Fortune
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What is the importance of law to a business person? Originally appeared on Quora: the place to gain and share knowledge, empowering people to learn from others and better understand the world.

It is essential to know about business law before starting a business because it will help you operate your business without the hindrances of ignorance. Knowledge of law to a business person can help themselves avoid severe fines and penalties that come with legal infractions in the corporate world.

It is best to seek the expert guidance of an accountant and an attorney to learn about the latest business laws that will affect your business. Below is a list of the most important business laws.

Business Structure Laws

There are different laws for different business entities. Be certain you learn about the business laws that govern the kind of business entity that you choose to start. The major types of businesses are C and S corporations, limited liability companies, partnerships, and sole proprietorships.

Zoning Laws

It is essential to know about zoning laws; as certain zones are restricted in certain areas. It deals with the kind or type of business allowed in certain areas, how the land surrounding a business is used, signboards, advertisements, and parking.

Licensing Laws

In order to operate a business certain licenses are required and there are some important business laws you need to know. If a business operates without these licenses, it is illegal and the business may be dissolved or forced to close.

Trademark and Patent Laws

These are laws that deal with ownership; intellectual property rights, and inventions. They are necessary to protect the business.

Employment Laws

These are laws regarding the hiring and firing of employees, their rights, compensation, safety, work place discrimination, child labor laws, overtime pay structure, disability laws and unemployment laws.

Tax Laws

This section deals with filing of tax returns and depends on the kind of business entity and the state the business operates in, sales tax. These include franchise tax, income tax and other state and federal tax requirements of a business. These are very important business laws you need to know before starting a business.

Environmental Laws

The government enforces the environmental laws for the discharge of hazardous waste and the recycling laws pertaining to the business.

Health Department Permits

This is necessary if your business deals with food products. You must get health department permits to operate your business.

Fire Department Permits and Air and Water Pollution Control Permits

There are laws that certain kinds of business entities must get permits from these departments to operate.

Contributed by Mitchell BoogrenCEO & Founder of TaxBud

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