How Business Owners Can Protect Themselves if Their Business Fails

Published on: 24 September 2022 Last Updated on: 11 October 2022

15% of startups fail in the first year and only 50% succeed in the fifth year. Therefore, failure to take steps to protect yourself if your business goes bankrupt can have serious consequences.

These assets can be lost very quickly if you do not protect your hard-earned personal assets. Certain registry laws with simple steps can ensure you greater protection in the event of a claim or lawsuit.

If you have the right legal tools like a Business Attorney Atlanta GA in place before litigation begins, you will be in a much stronger position to weather the storm.

This article will help you understand some important steps that you must take to protect yourself in case your business fails.

Protect Yourself When Business Fails

Given below are some of the major steps that you must follow to protect yours;f when your business fails:

1. Speak And Act Mindfully

The way a firm is seen is crucial. This is one of the reasons why business owners and their staff shouldn’t make controversial claims or engage in dubious activities.

This involves making derogatory or disparaging statements, as well as avoiding doing business with dishonest individuals. Additionally, in critical situations, avoid speaking in the absence of a Business Attorney in Atlanta GA.

However, if they are discovered, the company’s name could be linked to them. Therefore, you and your staff must work to reduce conflicts of interest and avert potential problems. In addition, such events may compromise your credibility as a businessperson and result in legal issues.

Even if you don’t make choices that benefit your business, having a conflict of interest would still exist if you were a city council member and contributed to the passage of ordinances that benefited your company.

2. Hire A Business Attorney

Consult a lawyer before beginning a business to get legal counsel. Before you do anything, you might require legal representation.

It is ideal to employ experienced business attorneys knowledgeable about the regional laws and customs of the area where the firm works and who, if required, has experience in a certain field.

Engaging a tax attorney if your company is dealing with legal issues with the Internal Revenue Service (IRS) or tax authorities could be prudent.

You may discover an excellent attorney through a variety of sites. In addition, getting suggestions for experts from other business owners might be useful.

Alternatively, you might get in touch with the professional association your company belongs to, including your neighborhood chamber of commerce or sector association. Then, naturally, you may try making spam calls (and interviews) using the information in your phone directory.

3. Go For Insurance

All businesses must have civil liability insurance, covering things like changing jobs and consumer collapse.

The purchase of errors and omissions insurance for allegations or contracts or contractual errors from customers or consumers must be considered. Again, you can consult professionals for advice on this matter.

You can also add liability protection to your contract in addition to purchasing insurance. However, this agreement shall not be accountable for unfinished work.

A Business Attorney in Atlanta GA may not be necessary early on in your business if you speak with one now about the clauses and legal terminology that should go into your employment contract.

How To Hire A Business Attorney To Protect Yourself?

Hiring a good lawyer is essential to a successful business. A good corporate lawyer can provide critical support in almost every aspect of your business.

In most small companies, the sheriff sends a lawyer in front of the door. This was very late after receiving maintenance and complaints. The larger the law firm, the higher the overhead costs and the higher the hourly rate.

Larger firms have more influence in the local, regional, and (perhaps) national legal community. Partnering with a large and reputable law firm can have intangible benefits. They will gladly refer you to a funding source or use your name as a reference.

You need a lawyer to help you decide if a limited liability company is the best way to organize your business. In addition, your attorney needs to know how to register your business for federal and state tax identification numbers.

Note: Don’t be afraid to ask direct questions about your lawyer’s experience. Your corporate lawyer should be like a “doctor”. Beware of lawyers representing multiple competitors.

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How to Get a General Trade License Dubai?

Dubai is one of the most admired cities for various types of businesses. Many entrepreneurs prefer trading in the UAE because of the tax-free environment. and due to the UAE's numerous Dubai visa types and easy application options, including online visa application systems, as well as many other types for entrepreneurs, investors, and businessmen. General trading is among the most profitable business ventures in Dubai. This is due to the huge local demand for various supplies because of the diverse cultures in the region. This includes essential items and even machinery. As an entrepreneur or an aspiring business person, you should know that all businesses in the UAE require a trading license. It’s necessary to understand the different types of licenses. A general trade license allows you to conduct all your business activities with a single license. General Trading License/Business in Dubai A general trading license is ideal if you’re looking to start a business in the UAE. This license covers multiple trading activities in the same or various industries. These activities include import, export, and other activities like trading in electronics, furniture, clothes, etc. You should also get a general trading license if you wish to venture into the wholesale business. This license allows you to trade in Dubai and other Emirates. However, you should understand regulations on specific products like pharmaceutical products, alcohol, and frozen goods. Many opportunities allow entrepreneurs to explore multiple businesses. There are 3 options for entrepreneurs to set up companies in Dubai; the Free Zones, Mainland, and Offshore. Steps to Get a General Trade License in Dubai The thought of conducting multiple tax-free businesses is very attractive to many individuals. However, you can’t do business in Dubai without a trading license. Below are the steps you need to follow to obtain your general trade license. Choose a Location You need to understand the different types of jurisdictions for business activities; these are the Offshore, Mainland, and Free Zones. There are 48 Free Zones in Dubai to choose from; they give you 100% ownership of your corporate and personal income. A Mainland business requires you to have a sponsor who will own 51% of the shares. An Offshore business operates in a different jurisdiction from its parent company which is usually in another country. Business Activities A general trading license allows you to conduct multiple businesses; you can choose up to 10 business activities. Apart from the restricted products like pharmaceuticals, guns, alcohol, and tobacco, you can trade in any other business. Choose a Trade Name One of the first steps is to choose an appropriate name for your company; this is one of the most important parts of your business. Choose a memorable, catchy name; it should help potential customers understand the type of business you run. You also have to follow name rules and regulations in the UAE. For instance, the name and the type of business should not contradict, you should not choose a name under copyright by another business in the UAE, it should not contain indecent or obscene words and should not offend the public, and you should not include God’s name or His attributes in English or Arabic. You can make your work easier by consulting a legal expert from a law firm in Dubai to guide you on how to choose a name. Apply for the License You need to apply for the license and submit various documents these include; A license application signed by the manager or legal representative Memorandum of association A copy of your passport 2 color passport photos with a white background A No Objection form from your employer (where applicable) Passports of all the partners Complete application form. You can consult your legal advisor from a law firm in Dubai if you’re not sure you’ve got the right documents. The Commercial Revenue Authority reviews and validates your documents; your business name is then included in the Commercial Registry. The Department of Economic Development forwards these documents to the Federal Ministry of Economy responsible for publication. After this, the ministry issues an approval letter. The next step is for the Department of Economic Development (DED) to issue you with a commercial registration certificate and original trade license. Your license expires after 1 year. Once renewed; the license is valid for 5 years. Choose a Business Premise You need an office and a warehouse; you need to store your goods. A Free Zone license has limitations on the location of warehouses to choose, while a Mainland license has more freedom. Some Free Zones are more flexible; for instance, IFZA allows entrepreneurs to operate in virtual offices. Consider the location of the warehouse and your office, size, security for your goods, utilities, storage environment, and climate control like having an AC for hot weather. General trade businesses are some of the most lucrative businesses to start in Dubai. You can trade include 10 activities and enjoy a tax-free lifestyle. However, every company in the UAE requires a license. It’s necessary to follow all the steps for the license application to save time and avoid issues. Read Also: 6 Steps to make Your Trade Show a Success Tips for Your Next Business Conference 7 Startup Ideas for Young Entrepreneurs

Internet Defamation Lawsuits: 7 Things You Need To Know

Let’s start with getting the idea about what a defamation lawsuit actually is. It is a type of civil lawsuit where the victim sues a defendant for making a false comment or statement on a person to a third party. When it comes to online or internet defamation, the statement is published on an online platform or is posted on any of the social media platforms. In this case, the person can file a defamation lawsuit against the party who had made the defamatory statement with the help of a Defamation Lawyer NYC. Types Of Defamation Now, as we know what internet defamation is, it is time to check out the different types of defamation. Here is the list of different types of defamation. Defamation Per Se. Defamation Per Quod. Criminal Defamation. Workplace Defamation. Elements To Prove In Defamation Lawsuit Only filing a lawsuit against the party who has posted a defamatory statement about someone specific is not enough to get your claims for the damages the statement has made. Your Defamation Lawyer NYC has to prove it. So, here are the elements of a defamation lawsuit, which need to be taken care of while fighting the lawsuit. False Statement of Fact. Of and Concerning the Plaintiff. Communicated to a Third Party. Fault Amounting to at Least Negligence. The Statement Was Not Privileged. Causing Damage to the Plaintiff’s Reputation. Filing A Defamation Lawsuit Now, as you have developed a basic idea about the internet and usual defamation lawsuits, it is the main part where we will talk about filing a defamation lawsuit. Throughout the entire process, a Defamation Lawyer NYC will guide you. 1. Determine That You Have A Valid Defamation Claim The first and foremost thing you have to consider is determining your claim. Here, that is a defamatory statement made on an online platform about you, which is not true at all. In addition to that, due to that very statement, you have experienced several damages along with immense damage to your public reputation. You also have to ensure that all the elements of a defamation lawsuit are in place. 2. Ensure Where To File It might seem too easy to think of, but in reality, it is more complex. Yes, you will file the lawsuit at a court with proper jurisdiction, but the question is where. For example, you live in New York, but the party who has made the statement lives in Ohio, so where will you file the lawsuit? Here is the list of several things that you should consider during this crucial time to make your decision. Where you reside or operate. Where the defendant resides or operates. If applicable, where your customers reside. Due to the defamation, where you experienced the damages. The amount of money you are claiming to recover the damages. 3. Gather Evidence Gathering evidence is an obvious thing for any type of lawsuit. But in case of internet or online defamation, the post can be removed at any time. So, here is some evidence that will work for you. A screenshot. Printout documents. Backup emails to any other email accounts. Save the entire webpage. 4. Comply With All Defamation Requirements Apart from making sure that all the defamation elements are in the proper place, in some cases, you might also need to take care of some particular pre-suit requirements. In some states, the plaintiff has to give notice to the organization or to the individual who is responsible for this. Your Defamation Lawyer NYC will be able to offer you the right information regarding this. 5. Consider Alternative Dispute Resolution Options Considering an alternative dispute resolution is not at all a bad option. Thankfully for removing the defamatory statement filing a lawsuit is not the only option you have. Simply contacting the responsible authority might often solve the issue. So, ensure that you have tried all the alternative options before using the entity. 6. File Your Legal Complaint Now, as you are done with taking care of all the necessary actions and gathering the pieces of evidence as per the elements of defamation, it is time to file the legal complaint. Always remember that it is not only about winning the case and getting the money. It is also crucial to make your defendant understand why you are suing. 7. Serve The Complaint Now is the time to serve your complaint in court. Here the actual job of your Defamation Lawyer NYC begins. In most cases, the plaintiff pleads to the court to eliminate the claiming amount as they have the right to free speech, and the case ends with a conviction of only removing the defamatory statement. So, you have to play smartly here. Final Talks An Internet defamation lawsuit is not only about someone making a false statement on the internet but also is more about the damages that statement has caused to you. Along with damaging your public reputation, it can affect both your personal and professional life as well. Read Also: 5 Reasons Why Your Business Needs a Lawyer How Much Does A Trademark Lawsuit Cost? 5 Reasons Why You Should Take A Criminal Lawsuit Seriously

Discusses the Growing Problems of Living Alone

Researchers have concluded that living alone, being socially isolated, and feeling lonely can pose significant health risks, particularly in older adults. Although the terms living alone, social isolation and loneliness are often used interchangeably, they are not the same thing. Specifically, living alone and being socially isolated are objective determinations either that a person lives solo, or has few relationships or infrequent social contact. According to the Administration on Aging (a division within the U.S. Department of Health and Human Services), nearly one-third (28%) of non-institutionalized adults 65 and older – 13.8 million people – live alone. Despite living alone, however, these adults may or may not be included within the category of social isolation depending on the nature of their relationships and the frequency of their social contacts. In contrast, loneliness is determined on a subjective basis. Loneliness is based on a person’s individual feelings of disconnectedness, isolation, or not belonging. Said differently, loneliness arises because of the divergence between a person’s desired level of social connection and the actual level of connection. To be clear, a person living alone may not necessarily feel lonely, whereas someone living with a number of other people may still experience loneliness. Risk Factors A recent survey of older adults determined that 43% feel lonely on a regular basis. More concerning is that among those who report feeling lonely, there is a 45% increased mortality risk. Steve Cole, the director of the Social Genomics Core Laboratory at UCLA, explains: “Loneliness acts as a fertilizer for other diseases. The biology of loneliness can accelerate the buildup of plaque in the arteries, help cancer cells grow and spread, and promote inflammation in the brain leading to Alzheimer’s disease. Loneliness promotes several different types of wear and tear on the body.” Research has established links between living alone, social isolation, and loneliness to a variety of physical and mental conditions, including high blood pressure, heart disease, obesity, a weakened immune system, anxiety, depression, cognitive decline, Alzheimer’s disease, and even death. Indeed, a recent meta-analysis – representing cumulative evidence from 148 studies involving over 300,000 participants – determined that greater social connection is associated with a 50% reduced risk of early death. A second meta-analysis by the same researchers – representing cumulative evidence from 70 studies involving more than 3.4 million participants followed for an average of 7 years – similarly concluded that living alone (objective determination), social isolation (objective) and loneliness (subjective) each had a significant effect on the risk of mortality. Specifically, the analysis concluded that the likelihood of death increased a statistically significant 26% for loneliness, 29% for social isolation, and 32% for living alone. To put those risks in context, the researchers determined that the magnitude of risk is comparable to – and in some cases even exceeds – other well-accepted risk factors such as smoking (up to 15 cigarettes a day), obesity, lack of physical exercise and high blood pressure. Loneliness has also been associated with increased emergency admissions to a hospital, longer length of stays, and delayed discharges. In fact, a November 2017 study concluded that the lack of social contacts among older adults is associated with an estimated annual increase in Medicare spending of $6.7 billion. One Can Be the Loneliest Number, But it Doesn’t Have to Be Greg Bishop, an attorney in Park City, suggests that retirement is a great opportunity to develop the types of connections that can prevent or alleviate the health consequences of living alone, being socially isolated, or feeling lonely. He notes that although there is a general consensus about the potential problem areas, the solutions are more elusive. He explains that although living alone and being socially isolated are determined objectively, the underlying causes are overtly personal. For example, living alone may be the result of the death of a partner or because of a recent divorce, whereas being socially isolated may arise from relocating after retirement or from the children moving away. Given that the underlying causes vary drastically, the solutions for living alone, being socially isolated, and feeling lonely will also differ. In short, there is no one-size-fits-all solution to these issues. That said, older adults will likely benefit from the following suggestions: Proactively stay involved in the lives of your family and friends. Find meaningful ways to connect with them via video chats, phone calls, text messages and letters Establish new social connections – go to the gym, take a dance class, learn to play chess, or join a book club Establish a more meaningful relationship with a church or social groups Look for opportunities to help and serve others. Fred Rogers – the television icon from Mister Roger’s Neighborhood – shared that when he was a boy and saw scary things on the television news, his mother told him to “Look for the helpers. You will always find people who are helping.” While that advice comforted him as a child, perhaps better advice for older adults dealing with social isolation and loneliness would be to “Look to be a helper. There are always people who are in need of help.” Read Also: Why Do You Need a Queens Personal Injury Attorney 6 Signs That You Need To Hire a Personal Injury Attorney Don’t Battle It All Alone: 5 Reasons Why You Need an Adoption Attorney These Four Qualities Are What You Should Be Looking For In Attorneys!

How Business Owners Can Protect Themselves if Their Business Fails