Old Bay Insurance Agency Blog
Having to settle a business issue through the court is a nightmare for all business owners. Aside from having to pay an attorney and legal fees, settling an issue through court can take a lot of time, and your focus towards your business may get disturbed. Below are some measures smart business owners would make to prevent their business from getting sued.
Notify customers about policies
Make sure customers are aware about the policies of your business by stating them in a simple way. Customers who know the policies are less likely to make a complaint.
Obtain legal documents
Get all the required documents you need to run your business. Some documents that are often needed are licenses, permits, and tax documents.
Have every transaction, agreement, and contract written in paper because these records might be needed to settle future disputes.
Tend to your customers
Keep your customers happy and attended at all times. Listen to their complaints and settle disputes on the spot. Avoid going to the court because it tends to take more time and money.
Don’t break the law
This is an obvious yet important point that should be mentioned. Don’t get your business involved in illegal activities. Study the laws of your state government to make sure you’re abiding to all the regulations.
Simplify legal documents
Using difficult terminology in your legal documents won’t give you better protection. Making use of simple wording will actually make the documents easier to enforce.
Have the right legal structure
The legal form of your business has an impact towards the liability risks you have to face yourself. An easy example of this is that businesses with sole proprietorship structure higher risks when getting sued because the business owner is solely responsible for any claims made.
Keep financial reports accurate
Financial reports should always be an accurate representation of the business’ current performance and situation. Having your reports checked by an auditor will also increase its accuracy, protecting your business from the risk of getting sued by legal authorities or any other party.
No matter how much you prevent your business from getting sued, there is no way to completely eliminate the risk. Get an insurance with liability protection so your insurer will help you with legal fees as well as legal responsibilities arising from court.
Your business should always follow common values in taking care of everything. Honesty, integrity, and openness is very important to avoid future complaints.
Protect your business at all times by getting it insured. At Old Bay Insurance Agency, we aim to provide comprehensive insurance policies that makes your life easier. You can get more information about our products and services by calling our agency at (410) 777-5390. Get your free quote today by CLICKING HERE.