Starting Cnc Shop Concerns

Summary

Starting a CNC machine shop while employed as a product engineer can lead to a conflict of interest if your business competes with your employer or uses proprietary knowledge. Check your employment contract for non-compete clauses and consider discussing your plans with your employer. If there are no restrictions, ensure your business activities dont compete with your employer, maintain separate resources, and regularly review company policies. Transferring to a different division may help reduce conflict, but consult HR or the legal department. In New York, youre generally not required to disclose a side business unless specified in your contract or if it competes with your employer. Even as a minority owner, conflicts can arise if the business indirectly competes or uses proprietary information. Consider seeking independent legal advice for compliance.

Full Conversation

I am thinking of starting a small manufacturing business but am worried that I will have a conflict of interest with my current employer. Can I start a CNC machine shop if my day job is a product engineer?
Hey John! Starting a CNC machine shop while employed as a product engineer can lead to a conflict of interest if your business competes with your employer or uses proprietary knowledge.
To help you further:
- Check your employment contract for any non-compete clauses.
- Consider discussing your plans with your employer to ensure transparency.
- Evaluate if your business activities overlap with your current job responsibilities.
Have you looked into your employment contract for any specific restrictions?
Yes and there are no restrictions on having a business or second job
That's great, John! Since you've confirmed there are no restrictions, consider the following steps to ensure everything is in order:
- Ensure your business activities don't directly compete with your employer.
- Maintain separate resources and time for your business and job.
- Regularly review company policies to stay compliant.
Do you have any concerns about potential conflicts of interest?
Can I transfer to a different division within the same company to avoid a conflict of interest?
Case Rating: *
Transferring to a different division could potentially help reduce conflict, especially if it distances you from sensitive information or competing projects. However, it's crucial to discuss this with your HR department or manager to see if it's a viable option. Have you considered speaking with HR or your manager about a potential transfer?
I have but they insist I speak to their legal department
Case Rating: *
Hi John! It seems like your situation involves some internal company negotiations and potential conflict of interest concerns. Here are a few suggestions:
- Consult with the company's legal department as advised. They can provide clarity on policies and potential conflicts.
- Prepare documentation detailing your business plans and how they differ from your current role.
- Consider seeking independent legal advice to ensure compliance and protect your interests.
Would you like any more information or guidance on this topic?
If I start a business on the side, how much am I legally obligated to tell my current employer about it?
Case Rating: *
In New York, you're generally not legally required to inform your employer about a side business unless:
- Your employment contract specifies disclosure.
- The business directly competes with your employer.
- Company policies require transparency for conflicts of interest.
Consider consulting the company's legal department or seeking independent legal advice for detailed guidance.
Am I obligated to tell an interviewer that I want to start my own business
Case Rating: *
In New York, you're generally not obligated to disclose plans to start a business to an interviewer unless:
- It poses a conflict of interest.
- Company policies require such disclosure.
Consider evaluating company policies or discussing with HR for clarity.
If I am a minority owner in a business is it still possible to have a conflict of interest if we do not do business
Case Rating: *
Yes, even as a minority owner, a conflict of interest can arise if:
- The business indirectly competes with your employer.
- You use your employer's proprietary information.
- Your responsibilities in the business overlap with your job duties.
Consider reviewing company policies and consulting with an attorney to ensure compliance.