The Entrepreneurial Journey: Steps every startup must take

By Mojisola George

If you really want your business to be successful, it is not by wishful thinking. I doubt if you would venture into business in the first place if you don’t want it to be successful.

There are 5 very important structures you must put in place to ensure the business is properly structured:

• Registration of the Business with the Corporate Affairs Commission: Whether as a business name. Limited Liability Company or IT, ensure that your business is registered. Speak with a professional to ascertain the best form of registration. Please register your business name before using the name all over social media and building a website.
• Register your Trademark
• Ensure to have a written contract for every agreement entered with third parties. Avoid oral contracts as much as you can.
• Compliance: This is very important. Different sectors and industries have a Minimum Operating Standard. Ensure your business is in compliance with the various regulatory agencies to avoid running foul with the law
• Maintain proper inventory and keep your books of accounting and records: This should not be taken lightly as it is useful both within and outside the business. Within the business, it helps you keep track records and outside the business, it helps investors see how viable the business is. There are some free softwares and apps that can be used for this, you do not necessarily need to hire an accountant while your business is still in the growth phase.

 GETTING THE CREW ONBOARD

As your business grows and becomes more successful, the scope of business will expand and you will need more help with running it. Could it be that you decided to employ because you like the feel of being a boss and having someone answer “YES SIR/MA” to you? Whatever your reason is, there is more to being an employer than answering Yes boss to your employees or paying salary to your staff.

You cannot run a successful business empire without being guided bu the provisions of the Labour Act. As an employer of labour, you have the following responsibilities and obligations under The Act:

– paying the Employee: the reality of a startup is that the employee may even make more money than the owner. This is because the employee gets paid whether business is good or not and gets paid before the employer. The employer gets the remnant after the salaries have been paid and all other expenses have been met.

– Giving the employee time off (with pay). Leave is an employee’s entitlement. It is statutory and ought to be non negotiable. It is not a favor to the employee

– Make monthly payments to the government as Tax on behalf of your employee(s). Tax evasion is a criminal offence in Nigeria and taken seriously by the officials.

– Provide a workplace that is safe, free from discrimination and harassment.

– Take legal and financial responsibility for your employee’s actions if those actions were performed in the scope of the employment. This is a tortious concept called the principle of vicarious liability.

As an employer, be informed that an employee can take legal actions against you for breach of any of your duties as an employer.