Commercial Law

Operating a business or company can give rise to a number of issues and considerations, including:

Buying or selling a business

Buying or selling a business requires careful planning to ensure that parties comply with their obligations and important terms are contained in a binding contract. This includes matters such as apportionment of purchase price and GST, valuation of inventory, and retention or otherwise of any existing employees.

These matters can be overlooked and often result in additional costs and disputes. Retaining a lawyer to review your contract and associated documents, negotiate terms, and carry out due diligence can help avoid potential pitfalls.

Commercial contracts

Businesses enter into many legal arrangements during their lifetime – from a single transaction, to the provision of products or services over many months. Business transactions should be documented to balance and protect the interests of the parties and include provisions to address contingencies and resolve disputes. Having your contracts prepared or reviewed by a lawyer can help protect your interests and ensure that important provisions are not overlooked.

Debt recovery

Most businesses will need to chase bad debts at some stage or another. The way a debt is pursued generally depends on whether the debtor is an individual or a company and the relevant circumstances. Choosing the correct legal method is vital to avoid costly mistakes.

Companies and directors’ liability

A company is an incorporated legal entity able to enter into binding transactions in its own right. Companies are a popular choice for operating small to medium-sized businesses as they provide officers and directors a level of protection from liability for the company’s debts.

It is important to be aware that directors must comply with all applicable obligations and duties as they hold a position of power and trust. Directors must act in the company’s best interests, exercise reasonable care and skill when performing their duties, and avoid insolvent trading. Company directors confront many situations and challenges that may place them at risk of breaching these duties and should obtain legal advice to clarify their position when facing uncertainty.

If you need any assistance contact one of our lawyers at [email protected]​ or call 03 9489 2488 for a no-obligation discussion regarding your matter.