• Does the proposed business require license from the concerned regulatory authority?

Lot of businesses requires license from the concerned regulatory authority license to start business.  In the absence of such license the business is illegal and consequently may undergo lot of difficulties and sometimes may lead to closure.  For example, to start restaurant or food business in India then FSSAI License is must from food safety and standards Authority of India.

• Do you know the comprehensive list of compliances under applicable laws

Knowing the applicable law for the proposed business and complying with those laws is crucial. This is purely depending sector and industry you are planning to enter into

• Does your business will have online presence?

All online businesses in India need to be complainant of Information technology Act depending upon their industry sector along with all other applicable laws. Be mindful of data privacy and protection rules and regulations to your business.

• Are proposing to lunch website for your business or mobile Application for business?

Website terms, user access agreement and privacy policies are required to add in your website.

In addition to the above do take the fundamentals   of business seriously in order to avoid unnecessary legal hassles and consequent fines and penalties.  Few illustrative basic checks of fundamentals for proposed businesses are:

• Is your proposed business plan include forming and legally structuring business? like registration / incorporation of business-like LLP or Private limited company, One person Company?

• Written shareholders or founders Agreement

• Intellectual property rights identification and protection from the inception

• If applicable registration and compliance under shops and establishment act

• Sign Non-Disclosure Agreements from beginning with all the stakeholders to address infringement and misuse issues

• Cultivate legal compliance culture

• Know the dos and don’ts under the laws

• Hire lawyer from inception of business initially to validate legality of business, to avoid legal hassles and penalties

Checking for legality of the business in the initial phase of business from ideation stage is crucial and fundamental to start, sustain and survive. Validating the proposed business from legal angel is important for every and any proposed business be it simplest form of business or complex one. It is always helpful to know the laws in and around your proposed business from the ideation stage of business. Taking the legal professional   help to structure and grow the business as and when needed before venturing each new step is better course action than struggling and juggling with legal hassles later.