Here are 4 areas where hiring a business attorney can pay off for your startup.
Launching a business has a very small margin for error, and new entrepreneurs often walk a fine line between success and stagnation. Hiring a business attorney provides a venture with innumerable advantages, especially when the partnership begins during the initial setup phases of a startup.
Qualified lawyers provide entrepreneurs with such benefits as best practices in business registration, guidance for prevention and preparedness, potential investor consultations and intellectual property protection. Not only can working with an attorney save money, it allows the owner to focus their time building the business, rather than worrying about the many legal facets.
Registering a business varies by state and city, creating a mountain of checklists and paperwork. From selecting a business structure to obtaining an employer identification number (EIN), there are many small steps that must be taken. Consulting a business attorney familiar with the laws specific to your state can ease the process and position the business for future success.
Prevention and preparedness
A business attorney can coach an entrepreneur to properly handle sensitive tasks, such as hiring and firing employees, interviewing new staff and working with third-party vendors. A thorough understanding of local and national laws that pertain to the company's specific business operations is essential to prevent legal difficulties later on. In the case of a lawsuit, it is better to be over prepared with a retained attorney rather than have to scramble to find one after the company is legally vulnerable.
Securing capital is a crucial step in business growth, and it requires expert research and application to find the right opportunities. A knowledgeable, local attorney will assist with the process by identifying the correct investors that will best benefit the business as well as facilitate interactions and negotiate contracts. Additionally, business attorneys may provide an entrepreneur with valuable connections through their extensive network, which can give the budding venture an advantage over other competing businesses.
Protecting intellectual property is one of the first steps a business should take through such processes as patents, copyrights, trademarks and necessary non-disclosure agreements. By ensuring the business and its property is safe, entrepreneurs can maintain peace of mind and reap the benefits of their business. Attorneys can provide legal guidance on how to prevent infringers from stealing intellectual property and put the correct documentation in place.
Hiring a business attorney can provide much-needed advice to guide an entrepreneur through the chaotic early stages of a company. Having a mentor early on to provide legal expertise, offer preventative practices and create a strong foundation for the company can help poise the business for long-term success.