Dec
Legal And Regulatory Strategies For Business Planning
If you are going to plan a business or a non-profit group, then you will need to consider the legal strategies. No group or business is immune to legal risks and thus you need to plan or you are planning to fail. For today’s example we will show you a rough draft business plan for an oral hygiene product manufacturing business.
This is a real product designed by Charles Shooster PhD. and below is the sample statement in the business plan of a legal strategies statement in the first rendition of the rough draft:
LEGAL STRATEGIES
This company will set up a legal entity in Nevada, an LLC. We wish to avoid the onerous over regulation in California.
Regulations
There are significant regulations in manufacturing with the EPA, no matter where we end up making our product. If they get too onerous we maybe forced to move manufacturing to China, although, we also realize this could cause early pirating of our products. We also realize with a completely automated production line, we will most likely not be worried about labor costs and do not see manufacturing in China as the first plan of action, nor do we see it as a huge cost saver, rather a last ditch stop against over regulation in the United States.
The FDA does not require our product to be certified, as it does not meet their litmus test for regulation, as it is not used as a cure for a disease and we are not advertising it as such.
The FTC commission watches closely advertising claims on such mass-market consumer products, but we will not state anything that is not fact on our packaging or website. Our intention is to meet customer expectations, desires and needs; a fresh mouth, clean teeth and potentially a presentable smile for all who use our product. Further claims will need “research paper backup” otherwise it is a slippery slope to include them.
The EPA does not regulate such things unless the material used may cause cancer. It is our mission to make sure that the materials we use will not come off into the mouths of our customers. This is the reason we have budgeted extra cost for our R and D group in the initial phase of the operation.
The Sales Tax is an issue and as battle-hardened we understand that some states wish to charge sales tax revenues and we will therefore seek the support of Online Merchant Account “pay-website” software to keep track of this issue and make sure the appropriate agencies are automatically paid out of the sales account.
We understand that the government often taxes businesses without representation and that this is a fraud on the business community and a dishonest tactic to all consumers and that our government hath forgotten that originally our ancestors were so upset that they threw some tea in the water. It is our intention to pay the tax now and later throw tea, when we can spare the cost.
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I certainly hope this example assists you in considering all the legal issues in your own business and gets your mind prepped for some heavy planning sessions for your business plan. I wish you all the success in the world. Sincerely, Lance.
L. Winslow is an Economic Advisor to the Online Think Tank, a Futurist and retired entrepreneur http://www.worldthinktank.net . Currently he is planning a bicycle ride across the US to raise money for charity and is sponsored by http://www.Calling-Plans.com and all the proceeds will go to various charities who sign up.
Tags: Busines Planning, charles shooster, draft, hygiene product, legal, phd, Regulatory Strategies

