If you are a business owner, you will be aware of the term ‘compliance’.

It can sound like something unachievable, or overwhelming, but depending on the level of business that you run, there are ways to break it down into bite-size pieces. And by doing that, it becomes more manageable, and a task that is controllable.

Because, as a business owner, you have a responsibility to be compliant.

What is Compliance anyway?

Compliance is a general term representing your systems and processes which are created to prevent or detect any:

— Breaches of the law;

— Misapplication of regulations; or

— Breaking of specific codes.

Compliance exists to protect you and your business. When you think about it that way, it seems less overwhelming doesn’t it.

Why do you have to have Compliance in place?

There are a number of reason that compliance measures should be in place for your business.

It’s logical.

If you want to know what is going on, from the day to day, to the bigger picture, then you have to have a system that can be checked and reviewed regularly.  Additionally, if you have partnerships or supply relationships with other companies, they may require you to have visible compliance procedures in place for their own comfort in doing business with you.

It’s smarter.

If you have staff on board, having a solid compliance strategy in place makes it easier for them to do their job. If it’s easier to do their job, they will be happier, more productive and contribute to a healthier corporate culture. It also reduces the ability for staff to behave with dishonesty, which protects your business on a whole different level.

It’s safer.

Legally, your business has a range of responsibilities with regard to legislative requirements, and how to comply with them. Some industries have specific codes of compliance with which to conduct their business. In general however, most businesses should always have a workplace health and safety policy, a privacy code, and be compliant with the ASIC guidelines.

Do small businesses have to have compliance?

Businesses of all sizes should act according to a compliance policy, no matter how big or small.

Australian Securities and Investments Commission (ASIC) asks for some basic information, including:

Company Details:

For example, a new business address, a change in the officeholders, or a change in the company name. Your business must have a Registered Office in Australia, and this must be supplied to ASIC.

Who’s running the company?

The office holders, eg the Directors, need to understand their responsibilities and obligations according to the law. If you are a Director, it’s ultimately your responsibility for making sure that your company obeys the law.

Keeping your Business Name up to date:

It’s vital to keep ASIC current on your business name, should it change. You also need to keep your business name registration renewed regularly, so it is active.

Records

ASIC also requires that you have up-to-date financial and business records that display your transactions, and financial position in general.

We are in the beginning of 2019, and you have a big year ahead – so if you don’t have your compliance in place, now is the time to ensure you are protected and ready to grow this year.

A major part of compliance is about privacy, and protecting your business information, and that of your clients.

If you would like more information on this, please get in touch.