Lecture Notes: Business Law and Practice for SQE

Introduction

• Brief introduction to the subject of business law and practice.
• Roadmap for upcoming lessons covering substantive content.
• Overview of the SQE specification and its requirements.

Scope of the Course

• Focus on commercially related legal concepts vital for business operations.
• Applicability for roles such as solicitors or legal representatives in business disputes.

Core Areas of Study

1. Starting a New Business

   • Establishing businesses via company, partnership, LLP, or sole trader.
   • Legal implications in business formation and operation.

2. Management of a Business

   • Day-to-day management and company decision-making.
   • Ensuring compliance with statutory regulations.

3. Stakeholders' Interests

   • Rights, obligations, and powers of business stakeholders.

4. Financing a Business

   • Corporate finance concepts including:
     • Types of securities (equity vs. debt).
     • Distribution of shares and raising capital.

5. Taxation

   • Tax implications for businesses and stakeholders.
   • Different types of taxation to be covered.

6. Termination of a Business

   • Processes for ending a business:
     • Solvent liquidation vs. insolvency.
     • Concepts of corporate insolvency law and personal bankruptcy.

Foundational Principles

• Legal Personality vs. Limited Liability
  • Distinction between company personality and individual personality.
• Business Structures
  • Types of structures: sole trader, partnership, LLP, PLC.
• Filing Requirements
  • Annual accounting and confirmation statements for Companies House.

Corporate Finance

• Raising financial capital for business operations.
• Types of securities:
  • Debt Securities: Bonds
  • Equity Securities: Shares
• Distribution of Profits and Financial Accounting
  • Key accounting requirements for business operations.

Elements of Running a Business

• Corporate Governance
  • Laws governing corporate governance.
  • Rights and duties of directors and shareholders.
• Insolvency Law
  • Overview of personal bankruptcy and corporate insolvency.

Taxation Overview

• Key Types of Taxation
  • Income tax
  • Corporation tax
  • Value Added Tax (VAT)
  • Capital gains tax
  • Inheritance tax
• Importance of understanding taxation for businesses and individuals.