Publication date: 29.06.2024
Legal advice for those who plan to open a co-working space or business center
Opening a co-working space or business center is a complex process that requires compliance with numerous legal requirements and procedures. Here are some tips to help you successfully implement this project.
1. Choice of organizational and legal form
Determination of optimal shape:
- Choose the legal form that best suits your business (e.g., limited liability company (LLC) or private enterprise (PE)).
- Consider the advantages and disadvantages of each form, taking into account tax considerations and the liability of the founders.
Registration of the company:
- Prepare constituent documents (charter, memorandum of association) in accordance with the chosen form.
- Register the company with the relevant state authorities (e.g. the register of legal entities).
2. Obtaining necessary permits and licenses
Consultation with a lawyer:
- Engage a lawyer for advice on the necessary permits and licenses to open a co-working space or business center.
- Identify the list of documents required to obtain permits.
Preparation of Documents:
- Collect the necessary documents, such as technical passports of the building, design and estimate documentation, certificates of compliance with building standards and others.
- Prepare a business plan that includes a description of operations, financial projections, and development strategy.
Presentation of Statement:
- Apply for permits from the appropriate government agencies (e.g., local authorities, fire and sanitation authorities).
- Attach all required documents to the application.
3. Selection and lease/purchase of premises
Analysis of the real estate market:
- Conduct a real estate market analysis to choose the best location for your co-working space or business center.
- Consider various options for renting or purchasing the space.
Enactment of a lease/purchase/sale agreement:
- Prepare a lease or purchase agreement for the premises, taking into account all the necessary conditions.
- Ensure that the contract is notarized if required by law or contract.
4. Construction and reconstruction
Getting building/renovation permits:
- Prepare project documentation for the construction or remodeling of the space.
- Obtain all necessary approvals from the appropriate government agencies.
Control of construction work:
- Engage qualified contractors and subcontractors for construction work.
- Control the quality of construction works and their compliance with the project documentation.
5. Compliance with safety and sanitary requirements
Fire Safety:
- Ensure that the premises comply with fire safety requirements (installation of fire alarms, evacuation exits, fire extinguishers, etc.).
- Obtain a certificate of compliance of the premises with fire safety requirements.
Sanitary and Epidemiological Norms:
- Ensure that the premises comply with sanitary and epidemiological standards (water supply, ventilation, lighting, sanitary facilities, etc.).
- Obtain a certificate of compliance of the premises with sanitary and epidemiological norms.
6. Formalization of contracts with suppliers and contractors
Sourcing of Suppliers and Contractors:
- Choose reliable vendors and contractors to keep your co-working space or business center running smoothly.
- Negotiate the terms of cooperation, including price, delivery time and quality of service.
Contracting:
- Prepare and negotiate contracts with suppliers and contractors, taking into account all necessary terms and conditions.
- Provide legal support for the conclusion of contracts, taking into account all risks and possible claims.
7. Internal rules and policies
Development of internal rules:
- Develop internal rules and policies for your co-working space or business center governing the use of facilities, rules of conduct and safety.
- Establish rules for workplace rentals, use of common areas, events, and other aspects of operations.
Enlightening clients on the rules:
- Ensure all customers are familiar with internal rules and policies.
- Post internal policies in a prominent place and on the website of your co-working space or business center.
8. Compliance with labor legislation
Labor Relationship Formalization:
- Enter into employment contracts with the employees of your co-working space or business center in accordance with the requirements of labor laws.
- Ensure that workers' rights are respected, including wages, working hours, vacations and other social guarantees.
Development of job descriptions:
- Develop job descriptions for employees defining their duties, rights and responsibilities.
- Familiarize workers with job descriptions and ensure they are followed.
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9. Registration of insurance
Selection of insurance products:
- Choose insurance products that provide protection for your business, property and third party liability.
- Consider fire, flood, theft, and liability insurance options.
Enrollment of insurance contracts:
- Take out insurance contracts with reliable insurance companies.
- Ensure timely payment of premiums and fulfillment of the terms of insurance contracts.
10. Marketing and advertising
Developing a marketing strategy:
- Develop a marketing strategy to promote your co-working space or business center.
- Utilize a variety of marketing channels including website, social media, media advertising and others.
Legal Aspects of Advertising:
- Ensure that your advertising complies with advertising laws.
- Avoid false or misleading information in promotional materials.
Bottom line
Opening a co-working or business center requires careful preparation and compliance with all legal requirements. Following these steps will help you create a successful and legitimate business that will provide a comfortable environment for your clients to work and develop.
