LAW AND BUSINESS TIPS: REGULATORY COMPLIANCE FOR YOUR BUSINESS

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LAW AND BUSINESS TIPS

REGULATORY COMPLIANCE FOR YOUR BUSINESS

One of the fundamental mistakes being made by many startups is what I have tagged "let just do it after all na 9ja we dey syndrome/attitude." By this attitude, many startups do believe that they do not need to comply with the core rules needed to be complied with before floating a business, because they believe we are in Nigeria where laws are not really being enforced (let just assume without conceding that it is so that laws are not really being enforced in Nigeria). This is a fundamental error and it goes to the root of the business. In fact, it is a self-deceit which may ultimately lead to self-defeat. It is a mistake that will definitely tell on the business as time goes on. For instance, many business entities have folded up today due to non-compliance with relevant rules. Another factor to consider is the high possibility of unconsciously making bad deals as a result of lack of access to legal advice. Also, not complying with the relevant rules will definitely limit the scale and growth of business. No government body or serious corporate organization would deal with a business entity which does not comply with relevant basic rules.

Thus, as a business owner who has complied with relevant rules, one will have the courage to take his business to any level and thereby expand its operations. This overrides any immediate gains that non-compliance with rules may seem to offer.

On a related note, some startups do erroneously believe that business regulatory compliance starts and ends with the Corporate Affairs Commission (CAC). However, there is more to business regulatory compliance than CAC, which may just be the starting point. 

As a business owner, you may also need to get necessary approvals from or registrations with relevant regulatory authorities like Federal Inland Revenue Service (FIRS), Council for the Regulation of Engineering in Nigeria (COREN), National Agency for Food and Drug Administration and Control (NAFDAC), Architects Registration Council of Nigeria (ARCON) etc. 

In conclusion, our position is that in order to be regarded as a serious player in the business world, you need to do your due diligence to determine the relevant rules needed to be complied with and ensure compliance with same. You are at liberty to engage a lawyer to cover this ground for you, while you focus on business. 

M.J.B. BAMIGBOLA & CO.

Comments

  1. UnknownSeptember 2, 2020 at 8:43 AM

    I really hope that many startup business will make use of this advice and do better. Good one counsel

    ReplyDelete

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