Starting a new business is not for the faint of heart. Often, a new business owner has taken some sort of financial risk to begin a new venture. That being the case, it makes perfect sense to have a great start-up attorney on your side to make sure all is as it should be, and you are completely covered should something go awry. In addition to drafting contracts and other necessary paperwork, there are multiple other areas where having a skilled business attorney to consult will come in handy.
First, it is of utmost importance to make sure your business is set up to operate in a way that will allow you the least amount of tax liability. No one wants a large surprise tax bill at the end of the year. The attorney who is assisting you in legal business formation can also assist in getting you set up with the right accountant for your needs. Second, an attorney is highly recommended when negotiating initial contracts with customers and suppliers. It is important to make sure parties on both ends fully understand are in agreement with the same expectations as the relationship progresses.
Third, if a new company is going to have multiple founders, an attorney can draft documents specifically setting out each member’s duties and expected contributions. The rights of each founder should also be in writing in the event a disagreement arises down the road.
These are only a few examples of multiple reasons hiring a start-up attorney is a great investment. Take the time to find someone who is the perfect fit for your business. If you are starting a tech company, an attorney who has only assisted in opening a restaurant is probably not a great fit. You want legal representation on your side who “gets” the space you are going into. Never be afraid to ask what kinds of businesses he or she have represented in the past. Your financial risks deserve representation that is willing to invest time and interest. In other words, you want someone who will answer the phone. Find the right one, and down the road, you will look back and realize having that expertise to consult whenever needed was priceless.