Definition
Regulatory Risk is the potential for laws, regulations, or government policies to change and negatively affect a startup`s operations, profitability, or business model.
Usage and Context
Regulatory risk is the possibility that changes in laws or policies could negatively affect a startup`s business.
Frequently asked questions
What is the regulatory risk? Regulatory risk is the chance that changes in laws or policies will negatively impact a company`s financial performance or operations.

What is regulatory change risk? Regulatory change risk is the threat of financial loss due to new or altered laws affecting a business`s operations.

What are considered potential negative effects of government regulations? Government regulations can increase costs, limit innovation, and slow economic growth due to compliance burdens.
Related Software
-
Benefits
Regulatory risk involves the chance that changes in laws or policies may negatively impact a startup`s business.
Conclusion
Regulatory risk is the potential harm a business faces from changes in laws or policies.
cta
Connect with the world’s top investors to raise capital for yourStart free trial