When it comes to corporate compliance, we find that many founders are ‘put off’ by the seemingly tiresome legalities and internal procedures involved. But, given that Australian startups are governed by stringent laws and regulations, having a well-designed compliance program just makes good business sense. Though it may seem like a hassle up front, upholding the necessary rules and regulations will save your startup from receiving costly penalties and litigation in the long run.
What is Corporate Compliance?
Corporate compliance is all about managing risk. It is the act of identifying the legal frameworks that apply to your industry and implementing internal processes accordingly. This will reduce your startup’s risk of breaching any regulations, laws, standards, and ethical practices that govern your venture and assist in creating a culture of ethical compliance within your organisation.
Do I Need a Corporate Compliance Program?
Yes. Every startup, regardless of the size or scale of the venture, should have a corporate compliance program. In fact, it should be an essential part of your startup’s operations. The key is to design a program that meets the needs of your startup. It should consist of internal policies and training modules outlining relevant legislation like the Competition and Consumer Act 2010 (CCA) as well as steps your startup can take in the event of a compliance breach.
Making an effort to comply with the relevant laws and standards is not just about drafting staff manuals or showing a series of onboarding videos, it is a continuous process of documentation and revision. This generally requires effective communicational efforts between your management team and your team members. Once the relevant policies are communicated, your team will be better equipped to uphold your organisation’s needs. Depending on the size of your venture, it may be a good idea to assign one officer to run your corporate compliance program.
Need Help? Contact Us
At Allied Legal, our team of startup experts handle all the stress and hassle of your legal and compliance obligations. If you need help with your startup’s corporate compliance program, or if you are concerned about a potential breach, you can connect with one of our startup experts on 03 8691 3111 or send us an email at hello@alliedlegal.com.au.
