FAQs

Got a burning question?  

Here's answers to some questions that clients have asked me in the past. If they address your particular question, then great. If they don't, then please give me a shout and I'll be happy to answer your query directly!

Q: This might sound stupid, but I don't know exactly what I want. I'm just starting out, and I don't know much about the law. Can you help me?

A: First, please don't feel stupid. Starting a business is a huge learning curve for anyone, and there's no reason why you should be a legal expert! Second, yes - I'll certainly help if I can. The best way to start is for us to have a chat over the phone, and you can tell me all about your business. I'll then be able to advise you as to your legal needs. A review of your business with free ongoing support  might suit you best in the immediate term, but you can also opt simply to individual documents drafted to address your needs. It's entirely up to you.

Q. I feel a fool that I haven’t asked for help with the legal side of things before. I think I’ve made several mistakes, and might even be doing things illegally – albeit unintentionally. Will you tell me off?

A. No, quite the opposite! I’m here to help, not to give you a hard time. The important thing is that we assess your business thoroughly, highlight where you’re going wrong or where you could improve, and set about putting things right as quickly as possible. The more you’re doing wrong, the more your business is exposed to risk – from the law (you could be liable to fines, and even to a criminal conviction – and ignorance is no defence, remember), from bad customers, from unreliable suppliers, and even from your employees.

Q. I always mean to get around to sorting out the legal side of my business, but there’s always something more urgent or interesting to do first. Not only that, but I know it’s going to cost me.

A. This is what many business owners say. However, the reality is that unless and until you get the legal stuff is sorted out, you’re putting your business at risk – and all the while, the energy and money you’ve been putting into other areas is in danger of being completely wasted. As for cost, it’s probably cheaper than you think – and certainly massively cheaper than paying out for fines, or trying to keep your business afloat when a big customer or supplier pulls the plug and you have no contractual redress. You may only need a document or two, and in any case, but if you think you might need more than that, I offer a discount or payment by instalments on multi-document instructions.

Q: I'd like to run a few questions past you, but how much will you charge me?

A: If you've got an off-the-cuff question to ask me, please just pick up the phone or send me an email. It won't cost you a penny. If, on the other hand, you need me to go through your business more thoroughly, and to advise you properly, then we should arrange for you to have a business review.

Q. How will anyone know if I’m trading ‘above board’ or not? I’m so small – surely nobody will notice?

A. That might have been true a few years ago, but things are very different now. With all the technology available, so much data is shared between organisations, government bodies, etc, that it’s very unlikely you’re as invisible as you think. Plus customers are much more savvy than ever before. You really do need to be on your mettle. But most importantly – why risk it? It’s your business, and not anyone else’s, that will go down the pan if you’re in the wrong – along with your income and your future plans. And don’t even think about pleading ignorance – it won’t get you off the hook. Judges take a very dim view of businesses who claim they don’t know what they’re doing. In fact, as a business owner, you’re assumed to have much more commercial and legal awareness than an ordinary member of the public.

Q. I want to grow my business, but I’m not sure if I’m ready. Can you give me any advice?

A. For any developing business, the most crucial thing is to make you’re absolutely ready. Growing too quickly is a prime reason behind businesses going bust. Just as a house needs firm foundations before it can be built upwards, a business needs solid foundations before it can grow, too. Check with your accountant – are you financially ready? Prepared to endure a few lean months if necessary? If your accountant gives the thumbs-up, we need to look at your legal foundations, and put them in place if they aren’t already - or your empire could come crashing down around your ears at the first hurdle. We also need to look forward and anticipate what might happen, for good or bad, and make sure we cover those possibilities, too.

Q: I've seen other businesses use Terms and Conditions of trading. I think I probably need some, but I'm not sure. When might I need Ts&Cs?

A: Ideally, you need Ts&Cs in place as soon as you start trading.  They're all about letting your clients or suppliers know what they can expect from you, and what you can expect in return. If you put it in writing in the form of Ts&Cs, any problems or disputes will be much easier to resolve. And please remember - if you trade online, you are effectively obliged by law to have Ts&Cs. Click here for more details.

Q: I'd like to go into business with a friend. We don't want the hassle of setting up a company, but I've heard all sorts of scary stories about partnerships. Is a partnership really such a bad idea?

A: In short, no! The horror stories you've heard are probably about partnerships where there hasn't been a partnership agreement between the parties. This is a big mistake because, without an agreement in place, an ancient old set of rules and regulations will automatically apply, called the Partnership Act, and will bind you to certain outcomes. However, with a properly drafted agreement of your own, you can bypass much of the Act, and have a partnership that suits you.

Q: I'd like to take on some additional help, but I'm not ready to employ anyone yet. Are there any drawbacks to taking on freelance help?

A: To make sure you're doing the right thing financially, have a chat with your accountant. From a legal viewpoint - yes, there are certain things you must absolutely watch out for. If you don't have an agreement in place with your contractors, or if it's badly worded, all sorts of disputes or misunderstandings can arise. Worse, you might also find that HM Revenue and Customs decide your contractor is an employee - despite your protestations to the contrary - in which case you'll be liable for back payments of NI and PAYE. Don't risk it.