The fashion industry is one of the fastest-growing industries in the world and the Nigerian fashion industry is now worth about $4.7 billion. If you’re looking to start your fashion line/fashion outfit, here are five important legal steps you need to take.
Corporate Affairs Commission (CAC) Registration
Before officially launching, it is very important to legalize the business. You would need to register your business and obtain a business licence and other permits before you can be allowed to legally run a business – this ensures that your assets are protected from any liabilities your business may suffer. You could decide to start as a Limited Liability Company (LLC), a corporation, or in partnership with other investors.
Contract & Legal Agreements
A business contract is a legally binding agreement between your company and another party. An oral deal won’t protect your business when problems arise. The terms of every deal, and how responsibilities are to be assigned needs to be explicitly stated. Without contracts, you’re leaving yourself open to legal liabilities. Contracts provide legal protection for you and your business.
Intellectual Property Protection
If you are a designer with unique designs, you should consult an attorney to help you secure your intellectual property with trademarks, tradename and copyrights.
Get your paperwork in order
Legal Documents required before launch date include:
Certificate of Incorporation
Memorandum of Understanding
Employment Agreement (offer letters)
Agreement for LLCs
The company bylaws for Corporations
Hire a lawyer
There are no two ways to this, you should not wait for an issue to arise before consulting with a legal advisor. Signing contracts, hiring vendors and employees, are all matters that need to be done within specific legal guidelines. A lawyer will guide you and ensure that you are protected within the confines of the law.