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Starting a new business is an exciting venture, but it comes with its fair share of responsibilities. Among the most important, especially for companies handling hazardous materials, is ensuring workplace safety and compliance with regulations. 

One of the most crucial compliance requirements for any business dealing with chemicals or other hazardous substances is maintaining up-to-date Safety Data Sheets (SDS). Whether you’re just getting started or already managing a business, understanding SDSs and the related regulatory requirements can help you avoid costly mistakes and ensure a safer workplace for your employees.

compliance for new businesses

What Are SDSs and Why Are They Important?

Safety Data Sheets (SDS) are documents that provide detailed information about hazardous chemicals and substances used or stored in the workplace. SDSs are essential for understanding the properties of these substances, how to handle them safely, what protective measures are required, and how to respond in case of an emergency (such as a spill or exposure).

SDSs are required by the Occupational Safety and Health Administration (OSHA) under the Hazard Communication Standard (HCS). These documents must be available to all employees and should be readily accessible in case of an emergency. SDSs are important for several reasons:

  • Employee Safety: Providing clear instructions on how to handle chemicals safely helps protect workers from health risks like chemical burns, respiratory issues, and long-term illnesses.
  • Regulatory Compliance: OSHA mandates the availability of SDSs in the workplace. Failure to comply can result in significant fines and penalties.
  • Emergency Response: In case of accidents, SDSs provide the necessary information for first responders to handle spills, exposures, and other emergencies quickly and effectively.

For new businesses, maintaining accurate, up-to-date SDSs is not just a regulatory requirement—it’s a key part of building a safety culture from the ground up. But this process can be complex, especially for small businesses just starting out.

The Challenges New Businesses Face in Staying Compliant

When launching a new business, ensuring compliance with safety regulations, including SDS management, can seem daunting. New businesses often face several challenges:

  • Limited Resources: For small businesses or startups, managing compliance can be costly. Hiring safety managers or experts may not be an option, and keeping track of all necessary documentation manually can be time-consuming and inefficient.
  • Expensive Updates: Regulatory requirements are subject to change, and SDS materials need to be updated regularly. This includes ensuring that the chemicals listed are compliant with the most recent OSHA standards. Keeping up with these updates can incur significant costs, especially if materials or information need to be revised frequently.
  • Complexity of SDS Management: Managing SDS for a growing business that deals with multiple chemicals or substances can become overwhelming. There’s also the added complexity of training employees on how to access and understand the SDS documents, which requires time and expertise.
  • Non-Compliance Risks: New businesses may overlook compliance, especially when they’re focused on day-to-day operations and growth. However, failure to meet OSHA’s requirements can result in penalties or fines, as well as a tarnished reputation in the industry. Businesses may also face legal consequences if an accident occurs and proper SDS documentation is not in place.

These challenges can create a significant burden on new businesses trying to get up and running while maintaining compliance. However, addressing them early on is crucial to avoid future disruptions. 

The right tools and resources, such as SDS management systems, can help mitigate these challenges and make compliance easier to manage. By prioritizing safety and compliance from the start, new businesses can reduce risks and focus on what really matters—growing and succeeding in their industry.

The Costs of Not Staying Compliant

While the cost of updating and maintaining SDS may seem like an unnecessary expense for new businesses, it’s essential to put these costs into perspective. The price of non-compliance can be far greater. Examine tools that can help predict costs of non-compliance

  • Fines: OSHA penalties for failing to comply with SDS regulations can be steep. For instance, businesses may face fines up to $16,131 for each violation of the Hazard Communication Standard. For repeated violations, fines can be even higher, reaching up to $165,514. These fines can add up quickly, especially for businesses that aren’t keeping their SDSs up-to-date or accessible.
  • Workplace Injuries: The financial costs associated with workplace injuries—whether in medical bills, lost productivity, or compensation claims—can be a significant burden on a new business. Ensuring that all employees are well-informed about the chemicals they’re working with and how to handle them safely can help mitigate these risks.
  • Reputation Damage: In addition to legal and financial risks, failing to provide adequate safety training and information can damage a company’s reputation. Potential clients or investors may hesitate to work with a business that has a history of safety violations.

The cost of common OSHA violations can be monumental, especially for start up businesses, but there are effective methods for properly maintaining an SDS library. 

How TotalSDS Can Help New Businesses Stay Compliant

While the process of managing SDSs can seem overwhelming, there are tools and services available to make it easier. TotalSDS offers comprehensive solutions for businesses looking to streamline their safety data sheet (SDS) management, ensuring compliance with OSHA’s standards and other relevant regulations.

Here are some ways TotalSDS can help:

  1. Centralized SDS Management: TotalSDS provides a cloud-based platform where businesses can store and manage all their SDSs in one place. This system ensures that all documents are up-to-date and easily accessible. With a centralized system, businesses can easily locate SDSs, reducing the time spent searching for critical information.
  2. Automatic Updates: TotalSDS keeps track of regulatory changes and offers sourcing and updating packages for SDSs to reflect the latest compliance requirements. This helps new businesses stay ahead of any changes in the law and ensures they are always in line with OSHA standards.
  3. Employee Training: TotalSDS offers training programs that can be tailored to your specific business needs. Training employees on how to read SDSs and handle hazardous materials properly is essential to maintaining a safe workplace. With TotalSDS, businesses can provide online training that’s easy to track and implement.
  4. Customizable Solutions: Every business is different, and TotalSDS understands that. Whether you’re dealing with hazardous chemicals in manufacturing, cleaning, or another industry, TotalSDS offers customizable solutions to meet your specific needs. This flexibility allows businesses of all sizes to maintain compliance without overcomplicating the process.
  5. Cost-Effective: With subscription-based pricing models, TotalSDS offers an affordable solution for businesses looking to stay compliant without breaking the bank. For new businesses that might be operating on a tight budget, TotalSDS provides an efficient and cost-effective way to manage SDSs and other safety documentation.

Starting a New Business: The Essentials

Starting a new business comes with many challenges, but staying compliant with OSHA regulations doesn’t have to be one of them. By understanding the importance of SDSs and using tools like TotalSDS, new businesses can ensure they are operating safely and in full compliance with the law.

With TotalSDS, businesses can save time, reduce costs, and minimize the risks of non-compliance. Whether you’re just starting out or looking to improve your current safety processes, TotalSDS provides the solutions you need to maintain a safe and compliant workplace. Start building your safety foundation today with TotalSDS – supplying SDS manager software and SDS authoring – and ensure your business is set up for long-term success.