(Legal) Insights for Aspiring Entrepreneurs: An Interview with Dr. Dominic Oertly

Hello dear reader. This month is the launch of a new online interview and collaboration series to help you explore various career and digital business stories from other people and e- businesses.

The first one is an interview with Dr. Dominic Oertly, where he shares (Legal) Insights for Aspiring Entrepreneurs.

I hope you find the new series valuable. Thank you Dr. Dominic Oertly for the collaboration.

Welcome Dr. Dominic Oertly as the guest of the month on this e-platform.

What can you tell us that can help the readers get to know you, your background and your current business in a few sentences?

Thank you for having me on your e-platform, it’s a pleasure to be your guest of the month. My name is Dominic, I studied law at the University of Zurich and got a PhD in eCommerce law. This was my first professional touchpoint with eCommerce back in 2014. Then I decided to start my entrepreneurial career and I needed to learn about the ups and downs many are facing. With our current company, Businessincub, in Zurich, Switzerland, our mission is to help startups, SMEs and entrepreneurs enhance their digital IQ and be competitive in their industry. We empower them through favorable solutions in Business Consulting and Company Brokerage.

Can you share your journey from being a legal professional to becoming a business owner? What motivated the switch?

When I started my PhD in eCommerce law, I realized that I wanted to experience the topic not only theoretically, but also practically. So that was the starting point for our first eCommerce startup. From then on, I loved the independence of being an entrepreneur and the opportunity to work with a team on a shared vision. I’ve never regretted it, even if it’s not always easy.

This is not your first business. You`ve had an online business before which was quite successful, and you had an exit. Please tell us a bit about it. What have you learnt from that experience which can help someone who`s reading this?

As already mentioned, there were many ups and downs. The most important thing is perseverance and continuing to believe in the vision even in difficult moments. No matter how difficult the task may seem, there is always a solution. In situations like this, it is important to have the right people around you who will walk the path with you. In addition, you shouldn't be influenced too much by other people. Regardless of what they say, the truly important thing is that you and your team believe in the vision.

What challenges did you face in the 1^st few years of entrepreneurship, and how did you overcome them?

The biggest challenge was that we had no idea what to expect. We started without much of a business plan and quickly realized that we didn't just have to take care of the “interesting” things. There were also things like accounting, insurance, or VAT/taxation on the agenda, which we first had to find our way around. But the freedom to do what you love makes up for all the inconveniences that go with it.

What advice would you give to founders and intrapreneurs who are just starting to consider regarding legal topics?

My advice would be to deal with the important things. In my experience, this includes, for example, choosing the right legal form. There are differences and advantages/disadvantages here, which need to be weighed up depending on the business you choose. I also mentioned accounting and VAT/taxation, which should also be on our list. Additionally, when choosing a brand name, you should also make sure that your brand is still available (also with regard to domains). I would recommend to therefore also consider early brand protection to be on the safe side.

What tools and resources have been most beneficial to your business growth?

When we started our first online store in 2014, the barriers to market entry were even lower than they are today. Back then, advertising via social networks such as Facebook and Instagram worked very well. However, times have changed, and I feel that you should take more “organic” measures today (content is very important). Since I also mentioned that accounting (finance) is an important pillar to success, I recommend easy DIY tools.

We`d like to help share not only the success stories, but also the fact that every success journey includes learnings from things which have not worked. What failures have you made during your journey and what have you learned?

There were many. For example, we underestimated the payment behaviour of some of our b2c customers, which meant we had to learn the difference between turnover and cash flow. We also sometimes invested just in the wrong places; instead of investing in higher quality products, we sometimes preferred to produce more attractive packaging to attract customers when they are getting the package. And we often let ourselves be blinded by lower unit prices, which are incurred with higher volumes, without calculating exactly whether we really need all of this. But as said, in the end it's about the big picture and believing in your own vision.

What key legal considerations for new founders in Switzerland to keep in mind when starting a business (particularly online)?

My PhD was about the existing information obligations of entrepreneurs in e-commerce. This concerns, for example, the obligation to provide an imprint or certain requirements that must be observed in the ordering process. Data protection is also a very important topic that encompasses more than just the privacy policy on the website. There are also, for example, requirements around ​​price disclosure or copyright law that must be observed.

What are some frequently asked questions you get regarding legal matters about digital and business topics?

Is the new EU AI Act applicable to businesses in Switzerland?

Yes, it is not necessary, that you are located in the EU.                     

What measures need to be taken to be compliant of the Federal Data Protection Act?

There are a couple of measures to be taken, e.g., updating the privacy policy or adjusting the General Terms and Conditions in terms of Data Protection.

What legal form can you recommend to someone who is starting a business for the first time?

Every situation is unique, so please be mindful of this when reading. So, this answer depends on the business you have in mind, but usually, we recommend GmbH or AG because of the limited liability.

How long does it take to set up a company in Switzerland?

This also depends on the complexity, but usually it takes a couple of weeks.

For people who are in the corporate world, what are things they need to know about when they decide to become self-employed while they are working?

There are pros and cons. First, you need to make sure that you are allowed to do so based on your duty of loyalty as an employee. If so, the pro is certainly that you still have a stable income but on the con side, your focus – that is usually very important – might be lacking.

How can people contact you?

Please visit us under: https://businessincub.com/

E-Mail: [email protected]

LinkedIn: https://www.linkedin.com/company/businessincub/

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Disclosure for transpency (11.06.2024): Dear reader, please note that I am a part of the Businessincub expert network (Business Incubator GmbH) in Zurich since last year.