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Advertising must always be truthful

On Behalf of | Apr 22, 2022 | Business Law |

Advertising your company is one of the primary ways that you can get the word out about your business. While you want to make your company sound as good as possible, you can’t let your enthusiasm overtake the advertisements.

All businesses are required by law to only make factual statements when they’re creating advertisements. There are federal and state laws pertaining to these matters.

What standards are present for advertising?

The Federal Trade Commission Act states that there are three primary requirements for advertisements.

  •         Adverts can’t be unfair
  •         Claims must be backed by evidence
  •         Ads must not be deceptive and have to be truthful

You can’t just look at what the advertisements say. You also have to look at what they imply. You even have to make sure that you don’t leave out important information that consumers would need to know. Advertisements must supply people with the information they need to make a decision about whether they want to try the good or product or not.

Some small businesses, including mail-order products, credit-based sales, and other specialized goods and services, have additional standards they must comply with. Understanding what’s necessary for your business is critical before you create an ad campaign.

Small business owners should do everything they can to protect the company they’re working so hard to grow. One part of this is making sure that you’re doing things in a legal manner. You shouldn’t ever try to cut corners on advertising, and everything you claim must be factual. Ensuring that you have someone on your side who’s familiar with your business and can help you protect it if someone makes a claim against it is important.