Entrepreneurs all know that starting a business is expensive and complex. It’s time consuming completing various legal documents, waiting for paperwork to process, contacting different agencies, getting your business and marketing plans in order, and reviewing contracts. However, some entrepreneurs don’t look ahead into the future.
No one wants to see their business hit rock bottom because of a few legal issues that may cost thousands of dollars to rectify. With little money to startup, entrepreneurs look for ways to cut costs and do it themselves. Jeff Cornwall, director of the Belmont University Center for Entrepreneurship, suggests having a good business attorney for a startup business. Here are 4 important reasons of why it’s important to have a lawyer on call when you start a business.
Assist You with the Proper Startup Paperwork
When you start a business, there are many different types of documents you need to get registered. You want to have all documents completed legally and accurate. First off, your business name should not be in use by anyone else. A lawyer can advise you if your name will show as a conflict with an existing business name. Some businesses have specific licensing requirements to meet. A lawyer who practices law for your industry would be able to ensure you have each license that’s necessary. You also need to have the correct business structure setup. Setting up under the wrong structure could set you up for serious liability issues. A few options include a limited liability company, sole proprietorship, or corporation, all of which your lawyer can help you decide on which is best for you.
Review Any Lease Contracts
Your eyes are trained for your specialty and industry. A lawyer’s eyes are trained to notice anything not in your favor in your lease. Such things to keep an eye on are common area maintenance fees, signing of the correct office space, and to verify the landlord won’t rent a nearby office space to someone who can destroy your business. You may not know your rights as a lessee but your lawyer will.
Review Your Contracts
You should prepare your contracts early on to be ready for business. Common contracts that you would need on hand are contracts between yourself, your clients, and your suppliers. Many people attempt to download contracts online and use them. It’s ok for a start and if you are looking to save a bit of money, but those need to be reviewed by your lawyer.
Each state operates different. There is also the chance that the laws could have changed slightly since that contract was made available. Your lawyer will be able to explain each section of the contract, any loopholes, and construct the contract to be fair, yet protect you and your business.
Protect Your Assets
Entrepreneurs think the time to start protecting their assets is when their business is in jeopardy. You need to protect your assets before your business gets off the ground. This involves having the proper business structure set up, proper tax procedures in place, and an understanding of how you can set money aside for yourself towards retirement. Just because you own a business does not mean you can put all revenue’s aside into your personal account. Each dollar has to be properly accounted for, even if it’s your own business.
Don’t risk losing out on a successful business. Protect it from any legal issues you could incur by hiring a lawyer prior to starting your business. Forbes even advises how crucial it is for a startup to work with a lawyer. To get hold of a Solicitor, find one with many solicitors, for example see the Quality Solicitors find local solicitor page.?
Photo Credit: Flickr/Adam Rifkin