It’s pretty easy to admit that running a business is hard, and depending on your industry, it’s going to only get harder, especially due to the need to stay compliant. Needless to say, everyone wants to be as successful as possible with their business, right? Well, compliance is the only way to do that.
Yes, basically every rule there is means that you have to be strictly 100% compliant with it! Yet, staying compliant is not just a “nice to have”—it’s a must if you want to avoid hefty fines, legal trouble, or worse.
But let’s be real: sometimes, even with the best intentions, businesses accidentally slip up. Yes, it’s scary to think, but sometimes there are accidents where you don’t know you’re not being compliant. However, accidents or not, all that means is the higher chance of accidents and victims.
So, how can you make sure your business is staying on the right side of the law? Well, let’s go ahead and break it down.
How to Ensure Your Business Stays Compliant
Understand What Compliance Means for Your Business
For starters, compliance isn’t a one-size-fits-all deal. So, depending on your industry, the size of your business, and where you’re located, the rules can vary widely. For example, a healthcare company has to deal with regulations around patient privacy (think HIPAA if you’re in the USA), while a manufacturing business might be more concerned with safety standards set by OSHA (again if you’re in the USA)..
The trick is knowing exactly what rules apply to you. So, it’s best to just make a list, do your homework, and don’t be afraid to ask for help from a legal expert if you’re not sure. The last thing you want is to be blindsided by a regulation you didn’t even know existed.
Why Businesses Sometimes Miss the Mark on Compliance
So, it was mentioned above that sometimes, accidents happen, and those accidents can sometimes mean that businesses were accidentally (or even intentionally) not being compliant). With that said, you’d be surprised by how often businesses fall out of compliance completely by accident.
Maybe a new law was passed that you weren’t aware of, or perhaps your team misunderstood the requirements. Sometimes, it’s as simple as not having the right systems in place to keep track of all the moving parts.
For example, let’s say you run a small construction firm. You’re aware of the general safety regulations, but you might miss some of the finer details, like changes in waste disposal regulations or new safety protocols for certain equipment. Even a minor oversight can lead to non-compliance, and suddenly, you’re facing fines or penalties.
And it’s not just small businesses that can stumble. Even big companies with entire compliance departments can occasionally drop the ball. The bottom line? It can happen to anyone, so don’t beat yourself up—but do take steps to prevent it. But what are the best ways?
Build a Compliance Checklist
One of the easiest ways to stay on top of compliance is by creating a checklist. Sure, this might sound generic, but honestly, this can be as simple or as detailed as you need it to be. So, just go ahead and start by listing out all the regulations that apply to your business and then break them down into actionable steps. For example:
- Data Protection: Are you keeping customer data secure according to GDPR or CCPA guidelines?
- Workplace Safety: Are all employees trained in the latest safety protocols? Are you conducting regular safety audits?
- Environmental Regulations: Are you properly disposing of hazardous materials? Do you have the necessary permits for your operations?
Once you have your checklist, review it regularly—monthly, quarterly, or whatever works for you. This isn’t a “set it and forget it” kind of thing; regulations can change, and so should your checklist.
Keep Detailed Records
Documentation is your best friend when it comes to compliance. Whether it’s keeping track of safety inspections, employee training, or environmental reports, having everything neatly organized can save you a ton of headaches if you’re ever audited.
Actually, one of the best and easiest methods for keeping all of these detailed records is usually through regulatory compliance software. While they all vary, for the most part, you can expect them to keep records and reporting and also ensure that there aren’t any slips that go through the cracks.
Stay Informed About Regulatory Changes
The whole “But I didn’t know” is never going to cut it because it’s up to you to know what changes there are within your industry. But how can you know, though? Well, you could set up Google alerts, subscribe to industry newsletters, or join professional groups that focus on compliance (or even just your industry, as there will almost always be talks about it anyway).
If a big change is coming, you want to know about it as early as possible so you can adjust your practices accordingly.
Don’t Be Afraid to Ask for Help
Finally, don’t hesitate to bring in the pros if you need to. Seriously, being a complaint can be so confusing! So, whether it’s hiring a compliance officer, consulting with a lawyer, or investing in compliance software, there’s no shame in seeking help.
