Tips from Centra Lawyers

How do I protect myself and my business against risks?

It is common cause that doing business is risky; anything can go wrong, some of which have little or nothing to do with the business itself. For this reason, a business owner must take all the steps he/she can to minimize this risk. There are various tried and tested methods to limit these risks; focus on the following areas:

  • Limiting personal liability
  • Splitting business risk and personal involvement
  • Keeping your assets separate from your liabilities and debts
  • Limiting risk to areas where risk should be; risk entities
  • Using formal structures to utilize statutory protection mechanisms
  • Protecting your income through tax structuring and retention strategies
  • Demonstrating fiscal and administrative responsibility
  • Operating within the confines of the agreed model

When a business implements and utilizes the aforementioned, it optimizes its chances of surviving adverse situations.

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