Legal considerations for startups in the UK: Assessing the need for a lawyer

Starting a business in the UK is an exciting and challenging venture. You should, however, be mindful of all the legal implications this will have. You will need to think about the structure of your business, any property that your business purchases and trade licenses among other things. 

It is not mandatory to hire a lawyer when starting a business. However, solicitors who specialise in corporate law can offer invaluable advice which can help you to avoid costly mistakes. 

Legal structure of your business

There are a number of different ways to structure your business, and how you set yourself up will impact your legal responsibilities. The structure of your business will depend largely on the size and goals of your business. 

Registering as a sole trader has the advantage of ensuring that you are able to run your business without the input of other partners or directors. It does, however, mean you are solely liable for any debts and taxes. 

If you were to register your business as a limited company, you would need to register with Companies House. You will need to think about shares, shareholders, directors, contracts and many other things. This is why having a financial expert look over everything will give you peace of mind that everything has been done correctly. 

Commercial property

The only scenario where it may not be beneficial to seek professional advice concerning commercial property is if you are a sole trader running a business from home. 

Commercial property law is a very complex area, more so than residential property law. You may be thinking about buying and selling property as part of your business. If this is the case, it is essential to have a firm of lawyers on board to keep everything legal. 

If you are embarking on any other form of business, you may require physical premises to trade from. Whether you are buying or renting, you will need to make sure that your contracts and purchase documents are suitable. A lawyer will be able to help you with this and guide you through the process. 

Licences to trade 

Many industries need different licenses to trade. Selling alcohol, for example, requires different licences depending on your business model. As well as sending forms to the local council, you may also have to send copies of them to other bodies such as the police for checks. 

If you are intending to import or export goods, then you may need a licence for that. This is to keep everything above board and legal. It is common for potential clients and contractors to ask for proof of these licences so they can be reassured you are a legitimate business.

The world of licensing is a complicated one, so it is best to instruct your lawyers to help you with it all to ensure it is completed properly and efficiently.