The U.S. is a country known as the land of opportunity. Here, no matter who you are or where you’re from, you can start your own business and build your own wealth; all you need is a can-do attitude and an entrepreneurial spirit. Though the potential to develop a thriving business is there, not all ventures succeed. No one launches a business expecting it to fail, but the road to success is littered with bureaucratic and legal roadblocks that complicate even the best of plans. With this in mind, when it comes to starting your own business, an essential factor to consider isn’t simply how to start a business but how to ensure your business will prosper.
The best way to ensure you’re set up for success is to hire a business lawyer. They’ll help you navigate all of the intricate processes and behind the scenes work that can tear a business apart if they’re neglected or not done correctly.
Why You Need a Business Lawyer
Of all the types of lawyers, if you’re starting a business, you’ve got to hire a business lawyer.
Whether you realize it yet or not, running a business is complicated, and a trained lawyer will ensure every aspect of your endeavor is set up properly and will work in your favor.
They’re trained in:
- Asset Transactions
- Buy-Sell Agreements
- Formation, Record Keeping, and Reporting
- Mergers and Consolidations
- Pension and Profit Sharing
- Purchase and Sale of Small Business
- Real Estate
- Stock Purchase and Transfer
Here are eight reasons why you should hire a business lawyer.
Establishing Your Business
Particularly in a business’s initial set up stage, you need to know what designation makes the most sense, which can be difficult to parse out on your own. Some questions you should consider are:
Is a corporation best? If so, what type?
- Are you the sole owner, or do you need to form a partnership?
- Do you have a charitable cause?
- Do you count as a non-profit?
If you can’t answer these questions, talk to a business lawyer. The way your venture is labeled defines your legal and monetary requirements. Adhering to these requirements is just one of many factors that dictate your business’s success or failure.
In addition to establishing what sort of entity is the best fit, most states require you to register your business and acquire proper licensure. If you aren’t well-versed in registration and licensing, consulting a business lawyer will be necessary.
Contracts and Agreements
Contracts and agreements are made for various reasons. Whether you form agreements between partners and investors or sign external contracts, you’ve got to know all the legal implications before you sign your life away. How much will you benefit? Do you fully understand your obligations? Business lawyers spend years studying contracts and agreements; confusing legal jargon is a second language to them.
Different businesses are taxed differently. What affects your taxation?
- Type of business
- Tax deductions available to you
Tax computation is famously complex, especially for a business, because there are so many moving parts. Avoid surprises from the IRS and consult a business lawyer about your taxes.
Risks and Liability
As your business grows, so does your liability. More people get involved, your decisions have a greater impact, and risks increase. You need to know your personal liability to your business so that you aren’t met with surprise lawsuits or other devastating outcomes.
Finances and Capital
Finances and funding can be extremely complicated. The loans and access to capital that your business qualifies for are dependent upon your label. There are several small business loans to choose from, but if you’re a non-profit, you have access to a slew of other loan types. Navigating the numerous ways to access capital alone can be confusing, especially if you’re strapped for time and don’t know what you’re doing.
Having a business lawyer on hand is the best way to prevent lawsuits. If you don’t have a lawyer around and you don’t call an attorney until you’ve already been sued, you’re in trouble. A great lawyer can reduce charges at this stage, but there’s no guarantee that they can protect you entirely. Keep a great business lawyer on hand to protect you and make sure your organization is in perfect order.
eCommerce and Business Across State Lines
If your business is eCommerce based, you need to know what it means to do business across state lines. Just because your business is established in one state doesn’t mean those rules will apply to transactions across the country. Some businesses are required to be registered or licensed in each state that they do business. You also need to be aware of your legal responsibilities to online customers. What are your obligations? What are your protections?
Protect Intellectual Property
If your business sells a new product or service, or your field is creative, and you’re designing new things all the time, you must legally ensure your rights to your own ideas. Until you do so, they aren’t your property and can be taken by anyone for their own use. If someone else beats you to patenting your own idea, they’ll own it instead of you. A business lawyer can help you file patents and take care of your intellectual property issues, so you can focus on creating new ideas and growing your business.
Does Your Business Need Capital?
A business lawyer can help you protect and grow your business in ways you probably never realized. From starting your business to selling it, an experienced lawyer will look out for you and your interests. However, if you need funds, talk to our team of experts at AdvancePoint Capital. We can help you apply for the right loan for your situation. Whether you have good or bad credit, need capital now or later, talk to your lawyer about working with AdvancePoint Capital. Visit our website to learn how our process works and get a free quote so that you can achieve your American Dream today.