Mukesh Dhirubhai Ambani
Mukesh Dhirubhai Ambani is an Indian entrepreneur, the largest shareholder, billionaire business magnate, chairperson, and managing director of Reliance Industries Ltd. He was the richest man in Asia until 2020.
‘Business is not solving problems, but finding problems and then solving them’,
says the financial juggernaut Mr. Mukesh D Ambani. Business and startups being a global platform, many, a business is responsible for the well-being of civilians which can be administered by a set of laws from the federation. A business receptive to all laws and opinions is vouched to have global recognition. But to run a business abiding by all the laws administered by ministries can be challenging. The Ministry of Micro Small and Medium Enterprises (m/o MSME) is part of the Government of India is the responsible head for regulating the terms and conditions on MSMEs.
The outset of an enterprise can be in the form of a partnership-based or sole proprietorship. Either way, the eyes of laws should be invincible in all the decisions made for the growth and legal advancements of the business.
Business & Commercial Law
Start-ups are crucial to administer. To start a business is it necessary to be aware of business and commercial laws to be a legitimate businessman in the world of business mavericks. Commercial law is the governance of matters that relates to commercial business activities. Like the trade and distribution of goods. On the other hand, business law deals with the regulation of the business. Like acquisitions, mergers, and litigation. For a business to be established for a longer period, it is necessary to stake out the necessary law jurisdictions.
For a business to efficiently work there are certain legal measures to be followed. As such:
- Business structure formalization
- Licensing business
- Taxation and accounting laws
- Labour laws
- Intellectual property right protection
- Foreign investments
- Business contract management
- Winding up of business
These laws have their niche which every person who is considering to evolve as businessmen should consider. For companies that lawfully abide by the laws can make a company or an organization look more moral and provide it with more dignity and integrity which is the first success as a startup.
Finance and Taxations:
For a venture, finance can be the drawing factor that can build or break an entrepreneur. When you financially invest in your business you are liable to its capital. Deviations because of financial instability can cause businesses to downcast.
It is all about smart investments and corresponding consequences, as all actions have consequences. Financial management is a liability. Many factors are to be kept in mind like taxation and other beneficiary rules. As the taxation and accounting law states, if a startup needs to be exempted from taxes, it should be registered under a limited liability partnership, which is one of the business structures and the annual turnover of the company should be less than 25 crores annually.
‘You have to manage money. Particularly with market economies. You may have a great product, but if your bottom line goes bust then that’s it,
says Mr. Ambani.
Team & Labour
Before establishing a business, the business structure formalization is significant to draft out. Business can be structured in many ways like a sole proprietorship, partnership, limited liability partnership, a private limited company that has the potential to build a team, and a team that can build or break a business.
Talking about labor laws, labor is an essential factor for any company or organization to run efficiently and diligently. But recruiting labor cannot be overlooked because many laws related to the minimum wage act, gratuity, provident fund payments, and paid holidays to workers. There are certain laws that a business should ensure to abide by to have an exemption from labor inspection for a startup.
Financial returns cannot be the objective of a business, there are more than financial returns. When the focus is on cause perseverance can help you stay in business which can eventually lead to the monetary beneficiary as a by-product.
‘Is that you have to create societal value you have to solve a problem that actually does good in some way and that has to be the main objective and financial returns are only the byproduct.’
says the business mogul Mukesh Ambani.
Young earnest businessmen and businesswomen can contribute a massive boost to the economy but going against all the odds can be the only way to succeed and retain ability. In the world of constant fights and constant allegations, the business world is not a place for pretty and comfortable dolls. It is a place to fight the constant battle and stay in the league.
CORRESPONDENT: SUJITHRA G.