1-4-1 How to Get Legal Information on Business Laws
In starting a business, it is important to seek a legal advice to avoid any legal problems. Such advice should not be used only when starting a business, but should be continued at all stages of the business stages.
To get support and assistance in finding out about the laws and practices of Jordan or any other country, some common sources of information are listed below.
· Internet. Make a search to find how to start small business in your country. There will be links to government websites and some other sites that offer the basic information.
· Publications. Governments and other publishers produce information on the requirements for starting a business. Check with bookstores and government offices.
· Government offices. Every government wants new businesses, because they make the economy to grow and create new jobs. The government’s job is to help those who want to start a business.
· Local training programs. There may be training locally available for people, who want to start their own business. Training may be offered by the government, private business schools, NGOs, trade associations, business clubs or religious groups. Follow newspapers and other media and ask others about what is locally available.
· Business advice. Some offices and organisations give free advice for people who want to start a business. Look for what is available and ask others about who gives advice for starting a local business.
· Mentor. Find a local businessperson and ask for advice on how to start a business. Usually, successful people are happy to share their knowledge, and they want others to succeed as well. This kind of learning is very valuable, and you will learn a lot quickly. Be on the lookout for a person like this. You can meet this person two or three times. Be organised and have questions ready so you don’t waste your mentor’s time.
1-4-2 What legal information should I look for?
Every country has its own business laws. You need to understand some of the local business law before starting your business. If you do not follow the law, a tax collector or other business authority will come and ask a lot of questions. The questions given below are important to ask before starting business in any country.
Who can start a business?
The law may say, for example, that a person must be above a certain age or must be a resident of the country. Make sure that you can legally start a business.
Do you need a permit for business?
Some businesses need a permit. Examples include medical care, real estate brokerage, public constructions, food production, or transport services. If your planned business needs a permit, find out how to get it before starting the business.
How to set up business?
The law of the country tells you how to set up business. There are different possibilities for setting up a small business:
· Self-employed. One person is responsible for managing all business activities and doing all the work. If the person stops working, the business will also be finished;
· Partnership. This means making a business ownership agreement with a partner. The partnership could be with one or more persons. Partners agree on who will do what business activities;
· Limited company. Persons invest money to own part of the company. They will then get some of the money back when the company starts making a profit. They can also sell their part of the ownership to another person.
The business law of the country also tells you how the business must be managed. The requirements for self-employed persons are simple. The requirements for a limited company are more complex. For example, there are regulations telling you how the money records must be kept.
Does the business need to be registered?
Some countries may allow small businesses to operate freely. Other countries require that every business must be registered with the authorities. It is important to find out what is required before starting business. For example, you may first have to register with the tax authority or some other offices.
What is the labour law of the country?
This is important to know if your business is going to employ others. Make sure you know the basics of the local labour law. This law tells you about how employees should be hired and paid, how to fire them, how to treat them when they are sick and how to treat their families. If labour laws are not followed, the business may get into trouble with the labour authorities.