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Compliance in Flux: Navigating Regulatory Changes as a Startup


— November 25, 2024

Startups often lack the resources for full-time compliance teams, so outsourcing or partnering with compliant third-party vendors is a practical solution. ~ Igor Volovich, Chief Strategist, Cyber Strategy Partners


In today’s fast-paced regulatory landscape, staying on top of compliance requirements is essential for any business. In this article, legal and small business professionals share their top strategies for success. With twelve practical tips—from the importance of ongoing education and collaboration to finding a trusted publication or site—you’ll gain valuable insights to help your startup navigate the complexities of regulatory compliance.

  • Rely on Ongoing Education and Collaboration
  • Depend on Legal Research and Networks
  • Establish a Strong Network
  • Be Proactive with Industry Resources
  • Cultivate a Robust Network
  • Participate in Legal Seminars and Workshops
  • Engage in Legal Think-Tanks
  • Focus on Continuous Education and Engagement
  • Dedicate Time to Reviewing Legal Journals
  • Engage with Industry Associations
  • Regularly Engage with Various Sources
  • Find a Curated Publication or Site

Rely on Ongoing Education and Collaboration

Changes rapidly. To ensure compliance, I rely on a combination of ongoing education, industry reports, and active participation in fintech communities. I also collaborate closely with legal and compliance experts who specialize in financial regulations, ensuring that our strategies align with the latest standards.

For startups navigating compliance, my advice is to prioritize regulatory understanding early. Build strong relationships with legal advisors who can guide you through specific regulations, whether it’s GDPR, PSD2, or anti-money laundering (AML) requirements. Additionally, invest in compliance technology to automate monitoring and reporting processes. It’s essential to integrate compliance into your business model from the start, as ignoring it can lead to costly penalties and reputational damage down the road. Stay proactive, not reactive, when it comes to fintech regulations.

Sergiy Fitsak, Managing Director, Fintech Expert, Softjourn

Depend on Legal Research and Networks

To navigate evolving regulatory requirements, I depend on legal research, professional networks, and continuing education. Regular participation in Continuing Legal Education (CLE) courses ensures I stay informed of the latest developments, particularly in personal injury law. Collaborating with colleagues allows us to exchange insights on recent legislative changes.

For startups, my advice is to prioritize compliance from the outset. Allocate time for ongoing legal education and consult with attorneys who specialize in your industry. Establishing a robust compliance framework early will prevent future challenges and ensure smooth operations.

Brett Carter, Partner, Bertoldo, Carter, Smith & Cullen

Establish a Strong Network

Keeping pace with regulatory changes is crucial for startups. Establishing a strong network is invaluable. Engage with peer startups and industry groups to share insights and experiences. Regular communication with others in your field can uncover trends and emerging regulations that might affect you. Attend industry conferences and forums where compliance is a topic, and actively participate in discussions to gather real-time information on what others are encountering.

Another effective strategy is to set up a monitoring system. This involves subscribing to industry publications, newsletters, and alerts from regulatory bodies. Staying informed this way can prevent surprises and keep you in sync with new regulations. Hiring or consulting with a compliance expert early on can shed light on complex requirements. They can help draft a compliance checklist tailored to your business needs, making sure you adhere to all necessary laws. The goal here is to turn compliance into a structured part of your operations, rather than a reactive challenge.

Casey Meraz, CEO, Juris Digital

Be Proactive with Industry Resources

The information you need is everywhere. All you have to do is be a little proactive and sign up for all the right resources. Follow industry news, set up Google Alerts for specific keywords, subscribe to relevant newsletters, and participate in webinars. Make a routine out of it—something that you naturally do every week.

If you’re a startup figuring things out, you need a compliance framework from day one. Identify which regulations apply to your industry. If you’re handling health data, HIPAA is a must. If you’re in tech and dealing with customer data, SOC 2 is probably on your radar. Conduct thorough due diligence before launching anything new. And if you can’t wrap your head around the laws, talk to legal experts who can help simplify the whole process.

Alex Freeburg, Owner, Freeburg Law

Cultivate a Robust Network

An effective strategy is cultivating a robust network of industry contacts and legal professionals. Regularly attending legal seminars, webinars, and industry conferences helps me stay updated on regulatory changes and best practices. I also subscribe to relevant legal journals, newsletters, and online resources for timely updates.

My advice for startups navigating compliance issues is to prioritize building a compliance framework from the outset. Start by identifying the specific regulations applicable to your industry, whether it’s data privacy, employment law, or consumer protection. Create a compliance checklist tailored to your business model and ensure all team members know their responsibilities.

Consider leveraging technology to streamline compliance processes. Tools that automate monitoring and reporting can save time and reduce errors. Finally, don’t hesitate to seek legal counsel early on. Engaging with a knowledgeable attorney can help you navigate complex regulations and avoid costly pitfalls. By fostering a proactive compliance culture, startups can focus on growth while effectively mitigating legal risks.

Ken LaMance, Attorney & General Counsel, LegalMatch

Participate in Legal Seminars and Workshops

Our firm participates in legal seminars, webinars, and workshops focused on the latest developments in criminal law and compliance regulations. Networking with fellow legal professionals through bar association meetings and industry events also provides valuable insights, allowing me to exchange knowledge and stay updated on best practices. Additionally, I subscribe to reputable legal publications and news services that cover significant regulatory changes and trends. 

For startups navigating compliance issues, my advice is to establish a solid foundation by thoroughly researching the specific regulations that pertain to their industry from the outset. Developing a comprehensive compliance plan is crucial, detailing the steps necessary to meet regulatory obligations and designating responsible parties to oversee these efforts. Seeking professional guidance from attorneys or compliance experts can further enhance their understanding of complex legal landscapes. Startups should adopt a proactive approach to compliance by regularly reviewing and updating their practices to adapt to any changes in regulations.

Chris Walsh, Criminal Defense Attorney, Walsh Law

Engage in Legal Think-Tanks

I’m part of several legal think-tanks and professional associations that focus on the future of regulatory law, particularly in personal injury and healthcare-related cases. These groups provide direct insight into upcoming changes and allow me to be part of the conversation before regulations are fully implemented. Being involved in these discussions ensures we’re not just reacting to changes—we’re preparing for them.

Make compliance part of your culture, not just a checkbox. Train your team to understand the importance of staying compliant, and empower them to spot potential issues early. The more ingrained compliance is in your company’s DNA, the less likely you are to face surprises that could harm your business.

Jason B. Javaheri, Co-Founder & Co-CEO, J&Y Law

Focus on Continuous Education and Engagement

Staying ahead of evolving regulatory requirements is crucial in cybersecurity. I focus on continuous education and engagement with regulatory bodies and industry groups like ISACA, IAPP, and CSA to stay informed. These organizations provide early insights into regulatory changes and best practices, and participation in working groups helps me track evolving compliance landscapes. I also maintain certifications such as CIPP and CISM, which require ongoing education and keep me connected to regulatory updates. Additionally, I use technology solutions like GRC platforms to automate monitoring for regulatory changes, helping to quickly integrate new requirements into actionable strategies. Following legal and compliance advisories, such as updates from NIST, GDPR authorities, and the SEC, further ensures that I stay informed on regulatory shifts.

For startups navigating compliance, I recommend a risk-based approach. Prioritizing regulatory efforts based on business model and geographic considerations helps focus on high-impact areas first. Compliance can be overwhelming, but identifying the most immediate regulatory risks and addressing those early on prevents costly problems later. I emphasize the importance of investing in scalable compliance frameworks like ISO 27001 or NIST CSF, which can grow with the company and establish a strong security and privacy foundation.

Startups often lack the resources for full-time compliance teams, so outsourcing or partnering with compliant third-party vendors is a practical solution. Cloud providers and similar vendors often meet regulatory requirements, easing the burden on startups while maintaining compliance standards. However, it’s crucial to manage third-party risks by ensuring these partners stay compliant.

Embedding privacy-by-design and security-by-design principles into development processes from day one is critical. This proactive approach ensures startups are meeting regulatory expectations while building trust with customers. Finally, compliance is not a one-time effort. Startups must implement systems to monitor regulatory changes and perform regular audits to ensure continued compliance. Documentation of all compliance efforts is essential, especially when facing audits or investor scrutiny. By building a culture of compliance early and using scalable strategies, startups can navigate regulatory challenges more effectively while positioning themselves for long-term success.

Igor Volovich, Chief Strategist, Cyber Strategy Partners

Dedicate Time to Reviewing Legal Journals

Every week, I dedicate time to reviewing legal journals, case law, and government publications to ensure nothing slips through the cracks. I also encourage our entire team to take this same approach, creating a firm-wide culture of regulatory vigilance. Staying updated isn’t just my responsibility—it’s embedded in how we operate at every level.

I always tell startups to stay flexible—regulations will change, and you need to build processes that can adapt. Don’t assume that what works now will work a year from now, especially in rapidly evolving sectors like tech or health. Keeping a mindset of continuous compliance improvement will help you stay ahead of potential legal risks.

Jeffrey A. Preszler, Partner, Preszler Law Alberta

Engage with Industry Associations

Staying informed on changing regulatory requests is fundamental for any business, especially for startups.

People networking; image by Hivan Arvizu, via Unsplash.com.
People networking; image by Hivan Arvizu, via Unsplash.com.

Some approaches to consider are engaging with industry associations, attending conferences and webinars, interacting with colleagues, using compliance technology, subscribing to regulatory bulletins, and consulting legal/compliance experts, among others.

Regarding advice for startups, I would say don’t wait until you’re fully operational to think about compliance. It is more difficult to implement compliance once the company is fully running. Also, I would recommend documenting and keeping track of as much as you can, training your team constantly, highlighting risk management, and auditing the practices that are in place.

By being proactive and informed, startups can confront compliance matters more successfully and focus on other issues that may arise.

Macarena Fiegelist, Compliance Officer, Fz Sports

Regularly Engage with Various Sources

Staying on top of evolving regulatory requirements is essential, especially in our dynamic legal environment. I make it a point to regularly engage with a variety of sources.

This includes following updates from government agencies, reading industry publications, and participating in legal forums. Networking with other legal professionals is invaluable, as it fosters a collaborative environment where we can share insights and discuss new developments.

For startups navigating compliance, my advice is straightforward: Prioritize compliance as a foundational aspect of your business strategy. Start by thoroughly understanding the regulations that impact your industry. Create a compliance checklist tailored to your specific needs and ensure that everyone on your team is aware of their responsibilities.

Also, consider investing in compliance training and resources. Knowledge is power, and well-informed employees can help safeguard your startup against potential pitfalls. Lastly, don’t shy away from consulting with legal professionals; their expertise can guide you through complex regulations and help you build a compliant and sustainable business model.

Ilan Bergel, Partner and Lawyer, Bergel Magence LLP

Find a Curated Publication or Site

In speaking with my peers, the common issue we have is time. In understanding the time constraints we are all under, I highly recommend finding a publication or a site that curates the current legal and regulatory issues not just in your state but across the nation. Additionally, joining a peer group to discuss common issues, the regulatory climate, and problem-solving is extremely valuable. Most companies look at compliance as necessary but not as essential as the product. It is like a home. Most people are enamored with what they can see, but the real value is behind the walls—i.e., how the home is built. Compliance is what is behind the walls. Ensuring that you have hired a person with a great knowledge base in the area who continues to want to learn and grow, is as essential as whatever product or service you are offering.

Dann Barbakoff, Legal Counsel

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