Posted about 6 years ago

Is Your Business In Compliance? Here Is Why It Matters

Normal 1566911562 Is Your Business In Compliance

Due to a large number of local, state, and federal rules and regulations of the State of Florida, it can be highly challenging for a business to remain in compliance with the law. These regulations are constantly changing, which makes it hard to stay up-to-date in regards to how your business is supposed to operate. In fact, even if you are well aware of which rules apply to your business, you still have to make sure all your vendors and personnel follow proper procedure. This is especially important if you are thinking about seeking investment, selling business assets, or changing the way your business is organized.

Operating in Compliance with The Law is Crucial

Remaining compliant matters because:

You Can Maintain “Good Standing”

In the State of Florida, businesses are expected to file reports every year to maintain current contact information and basic details of the company. Several business activities require current state registration, like opening a business bank account and obtaining a loan or credit. This is why it is important to stay current with your filings. Numerous benefits come with being in good standing with your state.

It Helps You When Seeking Investment

When you seek investment, you are required to share your books and records with potential investors to prove your revenue and help them assess risk. Investors are always looking for liabilities, especially when it comes to remaining compliant with legal requirements.

For example, a mechanical repair company that has not taken the environmental precautions necessary to prevent chemicals from reaching the ground would be a highly unattractive investment due to the failure to comply with environmental laws, which creates very high risk.

It Allows Your Business to Expand

If your company is seeking to grow, you might decide to open a new office in another county or, perhaps, another state. This is not as straightforward as it might seem, as each county has unique requirements for payment of business taxes and registration of certain types of business entities and professionals. If you fail to establish a sound legal foundation in your county, another county may refuse your operating license. This is also true when it comes to state filings; another state will not allow you to register your business if you are not in good standing with your state.

You Could be Punished with Fines and Penalties

As a way of discouraging businesses from ignoring the law, states punish offenses with heavy fines, interest, and penalties.

It Keeps Your Business Operating

If a business fails to remain in compliance with the law, the governing body can cite that business or list it as suspended or dissolved. There is no need to tell you that avoiding these issues is important. If your business is cited, the delinquency will be noted in public record.

It Gives Property Buyers Peace of Mind

In real estate transactions, buyers will often want to verify that the property they are buying does not have any code violations or title issues. If you are unable to resolve these legal deficiencies, this may end the possibility of closing the sale. Solving compliance issues with a property before you try to sell it is the wise thing to do when it comes to increasing its value as well as the speed of the transaction.

Is Your Business Compliant? If You Are Not Sure, Gives us a Call

There are so many state and federal rules and regulations surrounding business operations in Florida that it is often difficult to know whether you are operating in compliance with the law.

If you are uncertain, you need to call Jurado & Farshchian, P.L. today. Our qualified business lawyers will be happy to discuss the current situation of your business and advise you on what specific steps you need to take to keep your business compliant. Give us a call today at (305) 921-0440 or send us an email to [email protected] to learn more about our services.