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Setting up a business involves complying with a range of legal requirements. Find out which ones apply to you and your new enterprise.

Every business needs to be aware of its obligations under minimum wage and equal pay laws, as well as recent pensions auto-enrolment changes.

What particular regulations do specific types of business (such as a hotel, or a printer, or a taxi firm) need to follow? We explain some of the key legal issues to consider for 200 types of business.

While poor governance can bring serious legal consequences, the law can also protect business owners and managers and help to prevent conflict.

You must comply with legal restrictions on employees' working hours and time off, or risk claims, enforcement action and even prosecution.

The right employment policies are an essential part of effective staff management. Make sure any policy is clear and well communicated to employees.

Whether you want to raise finance, join forces with someone else, buy or sell a business, it pays to be aware of the legal implications.

While sick employees need to be treated fairly, you need to ensure that 'sickness' is not being used as cover for unauthorised absence.

Marketing matters. Marketing drives sales for businesses of all sizes by ensuring that customers think of their brand when they want to buy.

Most pregnant employees are entitled to maternity leave and maternity pay, while new fathers are entitled to paternity leave and paternity pay.

Commercial disputes can prove time-consuming, stressful and expensive, but having robust legal agreements can help to prevent them from occurring.

As well as undermining morale, illegal discrimination can lead to workplace grievances. Employee discrimination is covered by the Equality Act 2010.

Whether your business owns or rents premises, your legal liabilities can be substantial. Commercial property law is complex, but you can avoid common pitfalls.

Home, remote and lone workers are becoming increasingly commonplace. Key issues include communication and how to manage and motivate people remotely.

With information and sound advice, living up to your legal responsibilities to safeguard your employees, customers and visitors need not be difficult or costly.

The right approach to consulting with and providing information to your employees can improve employee motivation and performance.

As information technology continues to evolve, legislation must also change. It affects everything from data protection and online selling to internet policies for employees.

Disciplinary and grievance issues can be a major burden to employers. Putting in place and following the right procedures is essential.

Following the right dismissal and redundancy procedures helps protect your business and minimise the risk of a legal dispute at tribunal.

Intellectual property (IP) isn't solely relevant to larger businesses or those involved in developing innovative new products: all products have IP.

Employment tribunal claims are a worrying prospect for any employer. A tribunal case is a no-win situation – even if the claim is unjustified.

Knowing how and when you plan to sell or relinquish control of your business can help you to make better decisions and achieve the best possible outcome.

From bereavement, wills, inheritance, separation and divorce to selling a house, personal injury and traffic offences, learn more about your personal legal rights.

Home-working here to stay, finds IoD study

6 October 2020

The coronavirus pandemic will have a lasting impact on office use, according to a new survey of company directors.

The Institute of Directors (IoD) has polled 958 company directors and has found that 74% said they would be keeping increased home-working after coronavirus. More than half said their organisation intended to reduce their long-term use of workplaces and more than four in ten said that working from home was proving more effective than their previous set-up.

The poll findings show that business leaders have been making other adjustments during the pandemic that they intend to keep in place - 43% have embraced greater use of flexible working such as compressed hours, while over a fifth have moved a service online.

However, the IoD has warned that the long-term prospect of increased home-working could raise legal questions around employers' responsibilities for staff outside the office. It is also calling on the government to take a number of steps to help SMEs adapt to increased home-working. These could include:

  • Improving SME tax incentives, enabling more small firms to harness new digital technologies and bolster the productivity of home-working. This could be achieved by expanding the scope of R&D tax reliefs.
  • Improving access to management training, to reduce concerns around productivity and employee wellbeing. Boosting management skills could be one target of the National Skills Fund.
  • Lowering employment costs, particularly Employers' NICs, to encourage job creation and help more firms retain staff. This could be done by increasing the Employment Allowance or raising the threshold for paying National Insurance contributions.

Roger Barker, IoD director of policy, said: "Remote working has been one of the most tangible impacts of coronavirus on the economy. For many, it could be here to stay.

"Any remote-working set-up is only as good as the technology that enables it. Alongside continued investment in digital infrastructure, the government should give small firms the headroom to invest in the latest equipment and software. The restrictions have spurred significant innovation, but low revenues and high costs could put a lid on this."

However, he cautioned that remote working does not work for every business. "Managing teams remotely can prove far from straightforward, and directors must make sure they are going out of their way to support employees' mental wellbeing.

"The benefits of the office haven't gone away. For many companies, bringing teams together in person proves more productive and enjoyable. Shared workspace often provides employees the opportunity for informal development and networking that is so crucial, particularly early on in a career."

He concluded: "Looking ahead, it seems more and more companies will take a blended approach to where they work. Any transition can cause challenges, and the government should look to ease this. In the long run, greater flexibility could benefit both business and worker alike. However, it's crucial that the legal and economic implications of this change are grappled with from the start."

Written by Rachel Miller.

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