Danger of Ruining Unregistered Business

The best way to explain danger of ruining unregistered business is to tell you a short story.

Tony is an entrepreneur who makes very beautiful shoes for men and women with the best quality leather. This has been his line of work for six years now and thousands of people love his shoes. Infact, his shoes have become so popular that people commonly refer to it as ‘Tony shoes’. People actually go to the market and ask for ‘Tony shoes’. Most of his customers are so loyal that they will not wear any other brand of shoes (local or foreign) except for Tony’s shoes.Just last year, one smart entrepreneur called Bright caught a brilliant idea and decided to register a company and named it “Tony Shoes Enterprise”. It cost him not much effort and money Bright register his new company. Guess what? His new company makes shoes too. These shoes are also of high quality but they’re not as good as the popular Fred shoes. But the interesting thing is, Bright’s company’s shoes are labeled ‘Tony Shoes’. As you may have guessed, Tony finds out that Bright’s company is selling its shoes with a ‘Tony Shoes’ label. What can he do? If he does nothing, these new shoes that carry his name will confuse his customers and he could lose sales. So he decides to sue Bright’s company “Tony Shoes Enterprise”. Who do you think will triumph when this matter goes to court? The facts of this case are quite simple: One person (Bright) owns and runs a business that is legally registered and recognized by law. The other person (Tony), although running a very successful but unregistered business, has become a victim of his own mistake. He owns and has been operating a business that doesn’t legally exist. This is a sad example of the kind of unfortunate things that could happen when a business is not properly set up and registered. Tony was charge to pay damages to Bright for piracy, that is the double disaster 

It is often tempting to postpone or think that business registration can wait or is not really important.

The truth is, you may be building something that could become very big and popular in the future. However, if you don’t do something as basic as registering your business, all your hard work could easily be wasted, or worse, taken over by somebody else.

Am sure you don't want to end up like Tony, what ate you waiting for, right away contact Seun Ashimolowo to give you best business advise on this issue and help you facilitate your business registration.