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Corporate Compliance Is Essential to Protect Your Small Business

Business compliance is a generic term for how well a business follows the guidelines and laws governing its operation. No one starts a business with the idea of being an employer. Yet as your business expands, you inevitably bring other people along on the journey with you, along with various business-related responsibilities. It’s exciting watching aspirations become reality but sometimes the admin involved in hiring people can add to that thrill.

Before embarking on any program to achieve business compliance,

it is important to understand what it is exactly you are trying to achieve. Are you attempting to introduce new regulations, or are you trying to bring in and uphold regulations already in place? Do you need to modify any of your internal procedures? Do you require any new training or education?

In either case, make sure you have in place a CaaS strategy that will allow you to achieve business compliance goals. If your company only intends to be compliant in relation to a specific department, make sure you identify which departments need updated and which must stick to the status quo. When departments begin to grow and change, ensure your entire business structure is aligned with the latest business regulations.

Business compliance refers to three main components. Internal controls refer to processes and systems in place that are designed to ensure compliance with regulatory and business standards. The third component is external compliance – ensuring your company adheres to standards set out by international organizations. External requirements refer to whether the business is following best practices or not. There are two major parties involved in this process; company management and external regulatory bodies/ authorities.

Internal controls are not only important in business compliance but also to make sure employees are following the correct procedures. All employees should be trained and expected to follow the policies and procedures laid down. Make sure your employees understand what makes them comply with business compliance. Give some thought to formalizing employee induction training for those who are new to your business or those whose roles and responsibilities have changed. Encourage all current employees to familiarize themselves with your company’s regulations to make sure they know what their responsibilities are under the new legislation.

External controls refer to external review bodies. Some of these review bodies are governmental agencies like the US FDA, the European Union and others. Others are internal review bodies such as government agencies in many countries. These review bodies keep a close watch on small businesses to make sure they are complying with their own laws.

Lastly, there are business compliance requirements enforced by governments. Consult with your local government to identify what their business Compliance Requirements is. Compliance with these obligations could result in fines, penalties or even imprisonment. Consult your legal counsel before taking action. Remember that these obligations are in place in order to protect you and other businesses from damage.

Every day there is something new in the workplace.

Laws and regulations change frequently to keep pace with the modern era. Asking your legal counsel to find out what your obligations are, will help make sure you are compliant with your local regulations and that your employees do not face serious and costly consequences. As a business compliance advisor, I have seen the range of penalties employees can fall into when they fall short of their obligations. My advice is to always seek the advice of a lawyer and make sure your company complies with all modern award practices.

In my role as an employment lawyer, I have seen clients who have committed offenses such as discrimination, harassment, racial profiling and other conduct detrimental to their employees or the work environment. Others have run afoul of the law by using illegal computer software or illegal marketing techniques. Employees make mistakes; we all do. The important thing is that your business complies with all employment modern award practices and you and your employees can move on.

  • You may ask how you determine if you are in compliance? It is simple really.
  • Courts often require corporations and businesses to prove they are in good faith to be in good standing with local, state and federal laws.
  • When this is the case you can be assured your company is complying with all applicable Modern Award Practices.

There are several ways to achieve this goal. The most common way is to hire a legal expert and make sure your company complies with Modern Award Practice requirements in all areas.

You want to find an attorney who specializes in Commercial Law, not Family Law or Small Business. They need to understand Commercial Law well and have many years of experience. The best attorneys will go the extra mile to make sure your interests are protected. If you run into a snag, they will seek counsel from another firm for advice on your case. In this way, you don’t have to keep track of paperwork or worry about having it approved. This is one of the major benefits of working with a business compliance attorney who is also a small business owner.