<ul><li>STARTING A NEW BUSINESS </li></ul><ul><li>LEGAL CONSIDERATIONS </li></ul>RITAMBHARA AGRAWAL Entrepreneurship Seminar-2011 8 DECEMBER 2011 NIILM-Centre for Management Studies, Gr. Noida, India
STARTING A NEW BUSINESS Start-up Is A Vital Time To Consider Legal Issues
STRUCTURE OF THE ENTITY <ul><li>Structure of the entity is a critical aspect, which needs attention since the start of the venture. </li></ul><ul><li>Structure of the entity decides the liabilities of the directors, tax implications, benefits, and statutory compliances required under the said structure and also the ability to raise funds. </li></ul><ul><li>In India, one can register as a private limited company, sole proprietorship, partnership, LLP or public limited company. E very structure has its own pro and cons. </li></ul><ul><li>While deciding the structure of the entity one has to also look into the target market and the nature of product and services offered. </li></ul><ul><li>Many entities go for a US incorporation depending upon their needs. </li></ul>
STRUCTURE OF THE ENTITY Proprietorship Partnership LLP Private Limited Company Public Company Limited Liability Partnership 1 Person Venture More than 1 person operating jointly Corporate Structure Established Stage
CONTRACTS Contracts form an essential part of a business. A Contract defines the understanding between the parties, stating their roles & responsibilities, mitigates risks and defines liability of each party. It ’ s important to have all the agreements in place and work under the same.
INTELLECTUAL PROPERTY RIGHTS For any venture like tangible assets, intangible assets are also highly valuable. Therefore, maintaining and protecting the IP of the company is very important and needs to be done since the inception of the company.