4 Ways to Reduce Company Liability with Digital Tools

Employers and small business owners, beware. The number of potential legal issues that your firm can face will seem overwhelming at times.

Before pursuing a business venture, you should budget for financial and legal advice, because you’re probably going to need it. You’ll have to brush up on federal and state laws that relate to hiring, billing, copyright, taxes, and facilities.

Here are a few ways you can take proactive steps to minimize your liability.


Sit down with a legal advisor and craft watertight employee contracts. These should protect both the employer and employee, while addressing the federal and state rights and obligations of both parties.

A contract should clearly define expectations of the work relationship, pay, tasks, benefits, and company policies. These contracts can be sent to new employees digitally. Systems such as EchoSign and DocuSign enable new employees to sign their contracts digitally, and these documents are regarded as legally binding.


Does your company want to use a stock image in its marketing endeavors? Don’t just assume that it’s free of copyright.

Make sure by tracking down the owner of the image online. Examine the terms of use. Many photographers allow their work to be used for commercial purposes, but have specific requirements regarding attribution and royalty fees.

If your marketing department is unsure about the copyright, contact the owner directly to get clarification. Never ignore watermarks and digital copyright details, since you can land your organization in court.

Image Source: Pixabay

E-filing taxes

Business owners and execs need to keep track of their company’s tax payments and make certain they are being submitted on a regular basis. Work with your company’s accountant to file taxes electronically, so you can obtain a digital confirmation as soon as your taxes go through.

That way, you don’t have to sit around and wait for a check to go through.


Your organization should be committed to keeping its employees safe. Take note of any unsafe structures in the work environment.

These issues can be documented easily with mobile devices, such as a smartphone camera. Your company might be able to pursue legal action against a construction companies if there’s a defect in a structure.

The firm should conduct regular safety inspections to protect the health and wellness of the employees.

Running a business can expose managers and chief executives to a broad range of legal liabilities. But companies can take control of their situation by consulting with financial and legal professionals.

Be proactive about creating a safe environment for employees, and your business will thrive.

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Osho is Tech blogger. He contributes to the Blogging, Gadgets, Social Media and Tech News section on TecheHow.