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Posts Tagged ‘small business law’


Small Biz Resource Tip: e-SignLive.com

February 2nd, 2012 ::

e-SignLive.com

No one likes to wait for the signed document to show up in the mail, but a live signature is still required for many business contracts and forms. e-SignLive.com offers a free high-tech solution and an alternative to the pen-on-paper signature. Signers can sign from any device, and there’s no software to download. You can even have multiple signers, and everything is customized to the authentication level you require. If your business requires similar documents be signed over and over, you can create a template to use multiple times. Also, set a due date so signers know when the signature deadline is coming up.

 

Protecting Your Business Against Customers Who Go Bankrupt

September 1st, 2011 ::

By Maria Valdez Haubrich

With the economy seemingly back on a roller coaster of uncertainty amid talk that a double-dip recession may be in our future, it’s time to take a closer look at the controls you have in place to protect your company from financial losses. One area you should be concerned about is the contracts you use with clients. In particular, take a look at the parts of your contracts that deal with payment.

With businesses more concerned about their cash flow today, customers both big and small may be taking longer to pay their bills. You may want to build controls into your contract that specify what will happen if a customer is a certain number of days late on a payment. For instance, if a customer has several months of invoices outstanding, will you continue providing products or services, or will you suspend work or deliveries for that customer until payment is made? Spell these terms out in your contract so that there are no unpleasant surprises.

During the last recession, many businesses went bankrupt and while there’s no guarantee that will happen again, it’s important to protect your business. Having a contract in hand improves your chances of getting paid should a customer go bankrupt, since it will help you move up the priority list of creditors. It also helps your cause if you have to take a customer to small claims court over nonpayment issues.

Of course, many times small business owners are tempted to do business without having a contract in place at all. Given the 24/7 pace of business today, clients often want you to jump on a new project or order right away, with promises of a contract to follow “soon.” It may be tough, but you need to stand firm and not begin work on any new project or deliverable until you’ve got a signed contract in place. Otherwise, you could end up wasting time—or worse.

What if a customer complains that this means you don’t trust them? Explain your policy and gently point out that a contract protects their interests as well. Companies that are worth doing business with will understand and comply.

Image by Flickr user buddawiggi (Creative Commons)

 

Your Employees and Social Media: What You Need to Know

August 19th, 2011 ::

By Rieva Lesonsky

Are you using social media tools like Facebook and Twitter to market your business? Are you concerned about what’s being said about your company, your products and your services online? Even if your business is not actively involved in social media as a promotional tool, word can be spreading about your company on social media via your employees.

You may not stop to think about what your employees say and do on their personal social media accounts and how it affects your business. But, as Human Resources Executive Online recently reported, more and more companies are finding that what their employees say on social media can have a negative effect on their company image and reputation.

If an employee criticizes you or a co-worker, says something negative about your company’s policies or products, or vents about something he or she thinks is unfair in the workplace, all of this can affect others’ opinions of your business as a place to work and a place to patronize.

But how much control do you have over what your employees say and do on their personal social media accounts? Human Resources Executive Online warns us to tread carefully when dealing with this area. Under the National Labor Relations Act, employers cannot interfere with an employee’s right to take part in “protected and concerted activity,” which is typically defined to mean discussions or actions related to working conditions.

Human Resources Executive Online reports that the National Labor Relations Board is getting more involved in cases where employer rules prohibit employees for engaging in this type of activity on social media. The article cites several examples, and while it’s difficult to draw hard-and-fast rules from the Board’s rulings so far, a discussion on Facebook about something an employee thinks is unfair in your workplace, for example, could conceivably be protected speech.

Given that this issue is so sensitive, it’s a good idea to develop a policy for how your employees can use social media both in and out of the workplace. Many small businesses don’t have any such policy in place.

A basic starting point is for your policy to state that employees have no expectation of privacy if they’re using social media on company time using employer-provided computers or email accounts. While you can’t prohibit employees from posting or discussing topics related to wages, hours and working conditions, you can word your policy in such a way that libelous, abusive or threatening comments, or those that reveal proprietary information that could help competitors, can be prohibited both in and out of the workplace.

Since this is a new and contentious area of workplace employment law, it’s best to consult an attorney who’s familiar with these issues in developing your policy. After all, your business’s reputation could be at stake.

Image by Flickr user Roger Price (Creative Commons)

Small Biz Resource Tip: Rocket Lawyer

June 1st, 2011 ::

Rocket Lawyer

Sometimes hiring a lawyer is just beyond your small business budget. And sometimes, it’s not necessary. You may just need access to a legal document that could clear up the issue. Rocket Lawyer gives subscribers access to more than 10,000 legal forms, including incorporation and employee documents. A subscription costs $300 per year or $39.95 a month and gives you unlimited access. If you need an attorney to look over an important contract, you can find one through their network. Not sure what you need? Take their seven-minute legal assessment survey and find out if your business is in compliance or at risk for legal troubles.