In the business organisation, it is necessary to maintain the proper legislation for running the work procedure in the effective way. It assists the enterprise to run in the disciplinary way. The corporate law is all about the study of managing the environment, work procedure and many others in the workplace. The study will focus on the legislative framework for developing the new organisation in the country of Australia. It will emphasise on the importance of setting different legal system for the different entities. The legal issues will be identified through this study. It will also provide recommendation for solving the problem of the newly established ventures in Australia.
1. Description of the regulatory context and legislative framework for establishing the new venture in Australia
Before establishing the new organisation in the country of Australia, it is quite important factor to complete the legal procedures in the effective way. As mentioned by Strine (2014), the registration is the first procedure in order to establish the venture in Australia. As per the report of Australian Securities and Investment Commission (ASIC), before registration, it is necessary to set a name for the venture. After registering the name in the proper way, the business authority needs to maintain the principles, as they are new in the market. The corporate law assists the new enterprises for developing their business in the effective way. In order to establish the company, it is necessary to use the word ”Pty Ltd.” in time of filling the form of ASIC 410. The authority of the business venture needs to sign the form 201 of ASIC.
In order to make the effective operation system in the organisation, the business authority should follow the legislation in the perfect way. As per the rule of corporate law, the age of company secretary should be above 18 years. As per the viewpoint of Phillips, Turco & Zuckerman (2013), the newly established organisations need to follow the report of the ASIC in time of appointing new employees in their venture. As per the CAC Act (Commonwealth Authorities and companies Act 1997), the officers of public sector need to maintain the act in the effective way. The CAC Act is comprised of
Acting with diligence and care
Complying with duties
Acting in the good faith
Using their position in the appropriate way
2. Significance of introducing separate legal system for different venture
The separate legal entity Moll (SLE) needs to have the owner and the name should be consisted of Pty Ltd. As asserted by (2015), the development of common law has been introduced for running the separate legal entity in the effective way. As few entities are considered as the SLE, the owner can take decision for removing the risks like employability issues and many others.
On the other hand, the authority of the venture has the right of setting their capital structure in the appropriate way. As per the Corporations Act 2001, section 213, the owner of the venture can take decision as per their condition in the market (Legislation.gov.au, 2001). Hence, the separate legal entities have the right of completing their job in the liberal way.
Benefits and Risks
The SLE has the right of taking decision for handling the situation of the venture. The directors of business can easily identify their advantages as the higher authority of the SLE completely tackles in their own way.
The main risk of Corporation law is that, it never provides the assurance of securing data in the appropriate way. Many times, the disclosure of the documents creates a big issue in the venture of SLE.
3. The internal management procedure
In order to run the business in the effective way, the internal management system should be handled in the appropriate way. In the opinion of Whish & Bailey (2015), the SLE needs to interact with their shareholders and employees in the appropriate way for managing their internal situation of the enterprise.
As per the corporation law, it is necessary to discuss with the shareholders of the business and make an agreement with them as the shareholders like to invest money. If the separate legal ventures are able to increase their capital, they can expand their business. As per the CAC Act, section 46 (Commonwealth Authorities and companies Act 1997), the directors or the managers of the venture in the corporate sector need to interact with their employees for getting positive outcome. They needs to behave in the polite way as the employees can enjoy in time of working. The SLE needs to use the technologies for increasing the production in the appropriate way. The managers of the organisations should use the above-mentioned strategies for earning reputation in the contemporary merchandise market.
5. Identification of the risks and definition of the duty of directors
In the ventures, as many employees work together, the risk relate to the security of data is the common factor. Garrie & Reeves (2015) has stated that, in case of new enterprises, the employees need to be serious in time of working. Therefore, many times, the rivals companies are able to know the business strategies of the venture. This is the main risk on the corporate sector. This kind of risk is under the Breaching Privacy Act, section 398.
On the other hand, as per the Corporations Act, section 203D, the directors should discuss with their employees in time of taking decision. However, in many cases, it has been observed that, few employees do not show any interest for attending the meeting. Rather, they disclose the news to other ventures. This is considered as the major risk.
Duties of directors
In order to prevent the breaching procedure in the enterprises, as commented by Ciepley (2013), the directors need to find out the employees, who are liable in time of sharing the business strategies. As per the Public Sector Employment and Management Act 2002, section 52C, the directors of new established enterprises needs to behave in the polite way for earning their belief. They need to earn the faith of the employees for avoiding breaching in the venture.
6. Description of the financing procedure
In order to provide protection to the financing sector of the ventures, it is necessary to handle the employees in the effective way. In the opinion of Garrie & Reeves (2015), the business ventures should follow the legislation in the effective way for providing security in their financial sector. As per the Corporations Act, section 452D, the details of shareholders needs to keep secret.
On the other hand, for providing security, the authority of the newly established enterprises needs to recruit experienced candidate for increasing the security of the financial sector. It has been observed that, the experienced candidates have the responsibility of maintaining the financial sector in the appropriate way. In order to ensure the security in the financial sector, the authority can monitor the work of employees of the finance department. As per the Corporation Act, section 32E, it is the effective way of observing the work of the employees, who handle the financial department of the venture.
The above-mentioned strategies help to provide protection to the venture related to their financial genre.
10. Legal issues and its recommendation
The above-mentioned legal advices assist to run the newly established organisations in the appropriate way. Whish & Bailey (2015) stated that, in order to start new venture, it is necessary to register the name using the ASIC form. Many times, it has been noticed that, the owner of the venture does know about the form of 201. Hence, they are not allowed to fill up the form of 410. In order to avoid the legal issue, the owner of the venture needs to know the legal procedure in the effective way.
Many times, the directors of the venture do not behave with the employees in the effective way. Hence, the employees do not like to work in the venture. In order to remove the problems, it is necessary to maintain the Public Sector Employment and Management Act 2002 in the appropriate manner. Employee satisfaction helps to bring success for the venture in the effective way.
The newly established ventures need to recruit experienced staff for getting effective outcome. If they are able to maintain their legislation in the effective way, the authority would be able to avoid the legal issues in the appropriate manner.
It is essential for every business venture to conduct its trade and commerce in a proper way and by considering the terms of legislation suitably. Corporations Act of 2001 needs to be considered for successful execution of business. It is the duty of the top management of the organisation to set the business progression in such a way that it would help in adding extra efficiency in business. The above study has clearly stated what terminologies of legislation are required to be followed by the Australian business sectors for running the business properly. It can be said that every individual and his or her activities are under the guidance of the law thus, any violation of terminologies will make the individual answerable to jurisdiction.
business law assignment help, business law assignment, taxation law assignment help, law dissertation help, corporate law assignment help, law assignment writing service, commercial law assignment help, contract law assignment help, constitutional law assignment help, criminal law assignment help, company law assignment help, company law assignment, international law assignment help, administrative law assignment help, law homework help, law assignment help online, law assignment writing, online law assignment help, commercial law assignment, property law assignment help, corporate law assignment, tort law assignment help, online commercial law assignment help