Don’t break the law, it really isn’t worth it
This one sounds obvious, but you would be surprised how many businesses decide its a good idea to break the law. With law enforcement agencies having more technology and better resources, breaking the law doesn’t pay. Here why people get caught;
Illegal businesses - From the sale of prohibited products, banned drugs, ivory, endangered animals to counterfeit goods. Its never a good idea to start an illegal business.
Illegally operating - Your business model may be sound, but if you are required to register with an appropriate body then you could be operating illegally. For example if you want to loan money you have to be licensed by the Office of Fair Trading.
Illegal cost cutting - Buying goods from abroad without paying the due tax catches many people out and can lead to hefty fines.
Illegal staff - Hiring staff who do not have the legal right to work or who you know will not pay taxes can result in you being taken to court.
Working and claiming benefits - You may think the benefits office won’t find out about the business you’ve started from your home. The reality is different and the statistics show that sooner or later they will and you will end up in court, and out of pocket.
Not paying taxes - Don’t pay the taxes due and the tax man will eventually catch up with you. Not only will you have to pay all the taxes owed but also any penalties, and interest on the payments.
Ignoring the law - For some businesses mandatory laws apply, for example if you have employees it’s a legal requirement that you have Employers Liability Insurance should an employee be injured. If you run a food outlet there are food health and safety laws that you need to conform to. Ignoring the law can cost you your business in the long run, make sure you know which laws apply to you and that you conform to them.
Being a rogue trader - Taking money from clients and leaving town, doing poor quality work, using sub-standard products. Its won’t just be your (ex)customers complaining, you’ll soon get a visit from the local Trading Standard Office or the Serious Fraud Office.
Research shows that if you break the law eventually you will get caught. Depending on how badly you break the law you could end up with anything from a fine to time in jail.
