While there are many things you can do on your own, some small business owners need a lawyer’s help to ensure their legal affairs run smoothly and that they don’t end up with any surprises when it comes time for taxes or an audit. Here are seven reasons why your small business could use a lawyer.
1. Protects Your Intellectual Property
One of small business owners’ biggest concerns is protecting their intellectual property. This means anything that gives them an edge over their competitors. For example, if you’re a web designer, you have content like logos, website designs, images, videos, etc., all “owned” by you. If a competitor steals this intellectual property (IP) while working on the same project as you, you’ll lose out in the long run. The best solution? Get a lawyer involved right away so they can protect your IP and make sure what you’ve created belongs to you.
2. Keep You Organized
Today, staying organized is extremely important. Some people think writing everything down is a waste of time, but it keeps you grounded and helps keep things straight when it comes time to file taxes. It also makes it possible for employees to easily remember information, which reduces workplace stress and improves productivity. On top of that, keeping your record books updated will give you peace of mind knowing that you won’t miss something important once you go through tax season every year.
3. Provides Legal Protection
Many entrepreneurs fear getting sued might scare away customers or leave them open to other lawsuits. However, having a solid lawyer at your side will protect you against these situations. Since you cannot control whether or not another company files a lawsuit against you, hiring a lawyer ensures that no matter the case, you still get to keep operating without facing legal repercussions.
4. Helps with Contract Clauses
When starting a new business venture, you might want to consider how your contracts will work once you start selling products or services. Will you contractually obligate yourself to pay for damages during your service? How does your insurance coverage fit into the picture? These are just a few questions when thinking about your contractual relationships. A lawyer knows which clauses apply under different circumstances, so they can ensure that you aren’t blindsided, leaving you vulnerable to a lawsuit.
5. Reduces Risky Situations
There’s nothing worse than opening up shop only to find out five minutes later that you forgot to register your business properly, thus exposing yourself to lawsuits, fines, or both. Hiring a lawyer early on will save you money and heartache when preparing paperwork for starting a new company since you won’t have to worry about following procedures correctly. As a result, you will avoid the chance of violating state or federal laws, which could cost you hundreds, thousands, or even millions of dollars in fines or settlements.
6. Streamlines Company Formation
When setting up a corporation or LLC, many documents, forms, and fees are associated with the process. Whether you use online companies or prefer to hire an attorney, forming a legitimate legal entity for your growing business should be part of your weekly agenda. Having a lawyer help, you navigate the necessary steps and paperwork for company formation allows you to focus on running your business rather than trying to get organized.
7. Gives You One Less Thing to Think About
Small businesses often have limited resources, especially during start-up phases. Delegating responsibilities to others save time, allowing you to spend more time focusing on your product or service. In addition to keeping your own free time, delegating tasks to a qualified professional who has experience with similar processes will allow you to concentrate on other aspects of your business.