A list of issues to think about. Not necessarily apt for all situations, but a base to work from.
If you run a business confronting hard issues and, after reading this, have any questions, please feel free to contact me – info@gregdross.com.au or ross@eakin.com.au .
What is changed in my business?
- Compulsory closure?
- Social distancing issues?
- Logistics and supply line issues?
Does the business lease premises or Goods?
- Check the lease terms
- Look for provisions about “force majeure”, “frustration” and unforeseen circumstances
- impact of Retail Tenancies legislation.
Do I have business insurance?
- Does it include business continuity?
- If so, what is the wording? What is required to trigger recoverability?
- Check with your insurance broker?
Business Financing
- Is your bank or financier being proactive with assistance?
- Check government assistance packages
- Check with bank or financier as to flexibility
- Check with your accountant
Impact on Existing Contracts
- Check the terms
- Look for provisions about “force majeure” , “frustration” and unforeseen circumstances
- Check with the other party as to flexibility
Impact on Existing Contracts
- What new terms are needed?
Government Assistance packages
- Check availability and applicability
- Likely to be a change a number of times over time
Employees and Contractors
Check terms of employment and relevant awards/enterprise bargains for employees
Check terms for contractors ?
Legal Options to deal with Closedown
- “Safe harbour” provisions under Corporations Act
- Slight modification of directors duties
Sole Trader Issues
- Can business continue with me away?
- Do I need to and can I appoint co-manager or alternative manager / operator
Legal, Tax and Accounting Advice
- Check ATO websites for relief provisions
- Check with your accountant
The above was prepared for and is intended to provide a broad general overview of issues. It is not intended, and must not be relied upon, as definitive legal advice.
| Greg Ross |