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Ask HN: Do you sell first or comply with laws/tax first?
- GianFabien 2y agoIt is a jurisdiction specific question. In some places you need license(s) just to operate as a business. In most cases it is better to incorporate and do all the necessary registrations before making sales. But if your product/service doesn't take off as expected then the up-front costs are in vain. Some persons are comfortable with the risks of operating as a sole-trader.
- sawirricardo 2y agocan't they pivot to other products/services if the sales don't take off? Or will they break the initial agreement if they pivot?
- patrakov 2y agoComply first. Otherwise, you won't have a business bank account where you could direct the money from the first sale.
- sawirricardo 2y agowhat to do if business doesnt take off?
- patrakov 2y agoHire an auditor who confirms that (based on the lack of transactions and invoices), then close the company and all accounts.
- monorailgusty 2y agoIt probably doesn't matter if you're a beginner.
- JohnFen 2y agoComply with tax and other laws first. To do it the other way around is, in my opinion, completely unethical. Even ignoring that lawbreaking makes the company literally a criminal organization, a willingness to do that indicates a kind of fundamental flaw that makes the business forever untrustworthy to me.