Technology has changed the way commerce is carried out. Nowadays, the majority of major businesses conduct many of their transactions online. E-commerce has made it easier to access global markets and secure sales with the click of a button.
With that being said, running an online business is by no means easy. As an online business, you’re exposed to certain risks. Outlined below are some important factors to keep in mind:
Liability for your products
You’ll most likely never see your customers, but your business still owes them a duty of care. You want to make sure that all of your products meet safety regulations. You’ll also want to honor guarantees and warranties, and make sure that your products live up to their specifications.
If your company is selling products that a third party produces, then you’ll want to carefully assess the quality of the goods. If something goes wrong, such as a customer being injured, then you may be held liable as the seller.
Data protection
As an online business it is crucial to have a data protection policy. This should be clearly outlined on the terms and conditions of your online store. Your customers are going to enter data when doing business with you and this data must be secure. Data leaks or sharing data without permission could see your company face litigation.
Secure payment methods
It’s possible that your business oversees thousands of transactions every day. Whatever payment method you use for this, it needs to be trustworthy and secure. Not only can this protect your customers from fraud and scams, but the more trustworthy a payment provider you use, the better protections you have in terms of receiving your money.
Protecting your property
Business property extends to more than bricks and mortar, particularly in the case of an online store. Your online brand needs to be recognizable. This is what makes you stand out from the competition. Without protecting your brand through trademarks, copyrights and patents, someone could copy your methods and decrease the value of your company. Protecting your brand from copycats and those who seek to undercut your prices is crucial for any online store.
Running an online store can be challenging but lucrative. We help online businesses protect their brand and their companies from lawsuits. Contact us for a consultation.