Contents
On the cusp of starting your own business in 2025? Don’t forget your business legals!
From setting up your business, to the finer details of having contracts in place, we’ll take you through what you need to know – along with a few updates to guide you confidently through today’s regulatory landscape.
Choose Your Business Structure
Setting up the correct business structure and having all its associated documents sorted from the very start will provide you with a solid sense of direction. We’ve written about the three most common business structures—sole trader, company, and partnership structures—from our comprehensive guide on whether your business structure matters. The information has been updated for the 2025 market, reflecting current trends and regulations.
Briefly, the structure you choose will depend on how much you envision your business growing, the value of your business, how risky your business activities are, whether you’re going into business alone or with other partners, and what type of industry you’re in. For deeper insight, check out our detailed discussion in newsletters and our Business Set-Up Guide.
If you’re not sure which structure is best, you can reach out to Sprintlaw for a Corporate Consultation with one of our experienced lawyers.
What Documents Will I Need For Setting Up My Small Business?
If you want to form a partnership, you’ll need a robust Partnership Agreement and each partner will need to register for an IRD number. This ensures that your partnership operates in line with current tax and operational regulations.
If you’re starting a company, you must register with the New Zealand Companies Office. Additionally, if there is more than one owner, a custom Shareholders Agreement is essential to protect each party’s interests in the evolving business landscape of 2025.
If you are the sole owner of your business, are undertaking low-risk activities, and have a modest budget, you might consider becoming a sole trader. Registration for an IRD number is free and generally a quick process. However, as a sole trader your business liabilities are not separated from your personal finances, which means you could be held responsible if something goes awry. To protect yourself, having well-drafted contracts with your customers and comprehensive insurance is a must.
Get Contracts In Place Between Your Business And Your Customers
Regardless of the business structure you have chosen, the next vital step is to have the right contracts in place for your operations.
The type of contract required will depend on the nature of your business. For example, if you’re running an online clothing store, you should have a contract between you and your customer in the form of Online Shop T&Cs – covering details like delivery, payment methods, and returns policy. Our guidance on legal aspects of starting a small business is a great resource when setting up these parameters.
If you’re operating a brick-and-mortar store, you may not need direct contracts with each customer, but it remains crucial to have solid contracts with your suppliers and other business partners. We can tailor agreements such as Hire Agreements, Service Agreements, Gym T&Cs, Recruitment Terms & Conditions, and Graphic Design T&Cs to reflect the unique needs of your business.
Why Have A Contract With My Customers?
The main benefits we’ve seen from small businesses in 2025 having solid contracts in place with their customers include:
- You’re more likely to be paid promptly and in full
- Your intellectual property enjoys enhanced protection
- The contract can define the precise scope of work, with provisions for extra work if necessary
- Disputes between customers and your business are less likely to escalate
- Your business’ liability is limited as agreed by both parties
- You are better positioned to comply with current legislation such as the New Zealand Consumer Guarantees Act through fair contract terms
Have Contracts With Your Business’ Suppliers
Building strong relationships with other businesses, such as suppliers, is crucial for your enterprise’s success. Clearly drafted contracts can safeguard your supply chain and maintain efficient operations.
Some benefits of formalising your supplier relationships include:
- Greater reliability and continuity in the supply of goods or services
- Flexibility with alternative options if supply issues should occur
- Clearly defined payment terms
- Clear expectations regarding whether your arrangement is exclusive or non-exclusive
What Other Documents Might I Need?
If you’re employing staff, you’ll require robust Employment Contracts. For engaging contractors, whether as a business or as an individual, it is essential to have a bespoke Contractor Agreement.
Not sure whether you’re classifying a role as a contractor or an employee? We’re here to help and can organise a consultation with one of our specialist lawyers who will clarify the differences for you.
If your business has an online component, we’ve written an updated article on moving your business online legally which outlines the necessary documents – such as a Privacy Policy and Terms and Conditions – tailored to 2025 requirements.
For those looking to further secure their business operations, consider exploring additional resources in our Guides section which covers contract drafting essentials and the latest intellectual property considerations for modern businesses.
Need On-Going Legal Help?
As your business grows, you may need amendments to your existing contracts as well as advice on new legal obligations. Many business owners are now opting for a Sprintlaw Membership in 2025, which provides free contract amendments and complimentary phone consultations with our expert lawyers, ensuring that your legal documents are always up-to-date.
Regular legal reviews can help you adapt to industry changes, such as updates in data privacy laws and consumer protection regulations. This proactive approach is key to keeping your business compliant and secure.
Why Sprintlaw?
At Sprintlaw, our ethos is to make legals accessible to small businesses – ensuring that you and your customers understand your contracts thoroughly. We draft your business legals in clear, concise language, avoiding unnecessary legal jargon.
In today’s competitive business environment, planning your budget is paramount. With our fixed-fee upfront costs, you can enjoy peace of mind knowing there won’t be any unexpected bills as you establish and grow your enterprise.
So, what exactly do you get from us? We don’t simply send you a generic template that may not reflect your business needs. Instead, our lawyers will consult with you before starting work on your agreement, tailoring it to your specific requirements. This collaborative approach gives you the opportunity to discuss any changes or clarifications needed after the contract is drafted.
In many cases, you may benefit from having reusable contracts for your suppliers, employees, customers, and other stakeholders. Instead of redrafting similar documents for every interaction, we can provide customisable templates along with guidance on how to adjust them to fit each particular situation – saving you time and minimising legal risk.
Our co-founder has also addressed some key legal questions that early-stage business owners frequently have. His insights could save you significant stress later on and ensure your business is set up for success. Watch our latest video for more details.
Additionally, as businesses evolve in 2025, it is more important than ever to stay informed about legislative changes. Whether you’re scaling up, changing your business model, or entering new markets, continual legal support can be the difference between smooth operations and unnecessary setbacks. Our regularly updated resources, including our latest articles and guides, ensure that you’re always informed on current best practices.
To discuss what legals are a priority for your small business, get in touch for a free, no-obligations consultation on 0800 002 184 or via email at [email protected].
Get in touch now!
We'll get back to you within 1 business day.
Top 3 Legal Mistakes
Book in a free consultation with us to discuss your legal needs.