Growth is exciting for companies, but it can also create hidden legal risk. When growth is too quick, legal questions are too often postponed in favor of speed. This could lead to the following issues:
- Contracts may be copied instead of properly prepared
- Employment practices evolve without clear-cut policies
- Vendor and customer risks increase
- Intellectual property ownership remains unclear
- Governance might struggle to keep up
What is the result of all this? Problems appear often AFTER fast growth when compliance issues, disputes or unclear responsibilities start to surface. At times, the largest cost of too much rapid growth is not slowing down, but growing without the correct foundations in place.