Weathering storms is the hallmark of a good company, but some storms may be too large to weather in the end. That is what one large bank is discovering in the wake of scandal that has rocked it to the core. Most people by now have heard of it, the bank is accused of creating thousands of fake accounts to boost sales numbers and gain bonuses.
When first announced, the country was stunned, and what has resulted in its wake should be enough to put other companies on notice. A once proud company is being brought to its knees over the fallout, and it remains to be seen if the company will weather this nightmare. Some of the highlights (or lowlights) of the consequences include:
- Thousands of employees fired for the fraudulent accounts;
- States canceling billion dollar business with the company;
- The CEO leaves the company after being reamed by Congress in hearings;
There is no telling what will happen to this once-successful company going forward.
Just imagine what these stories and headlines mean for the company. The bottom line of the company is immediately impacted, and as was recently reported, new customers are particularly wary of doing new business with a company in dire straights.
The Right Way to Do Business
Anyone in business knows that there is a right way to do business and a wrong way. Before any corporate team can sit down and plan their moves, though, they need to understand and know what it is they want to accomplish with their business. In every such session the legal implications of any decisions are weighed.
Take this story, for example, as with foresight and proper planning with the counsel of qualified attorneys, this could have been completely avoided. That is the real value that comes with the right team of legal counsel, they can inform business decisions and help guide a company to success, longevity, and value. If left to their own devices, ambitious men and women can make damaging decisions.
So what is a company to do? Take this opportunity to review your company’s business practices and really understand what is happening in your company. It is also a great time to bring talented, experienced legal counsel to the table and get any answers to questions you may have about your company’s business practices. This could include complying with things like corporate niceties and regulations, as well as whether you are in compliance with federal and state laws.
At Royse Law our team of corporate advisors, counselors, and experts can help guide your company to where it needs to be. This includes giving you the advice and guidance that will not only help your company avoid a similar fate, but actually grow in the success that you wish it to. Contact us today so we can begin being part of your team.