Avoiding Liabilities: When Do Startups Need to Hire a Lawyer?
When do you need to hire a lawyer for your startup? When you’re working on a shoestring budget, lawyers may feel like an unnecessary expense. But what if those lawyers are actually saving you money?
No, lawyers aren’t necessary for every startup though they’re essential in some cases. The trick is to know which is which. When you’re ready to discover the circumstances in which an experienced lawyer can save your startup money, read on.
Choosing Your Startup Business Structure
The structure you choose for your business entity will have a long-lasting impact on your investments, taxes, and other financial arrangements. Should you choose an LLC? Would an S-Corp or a C-Corp work better for your long-term goals?
When you hire a business lawyer, he will ask you about your current business setup and business plan. He will help you determine which structure will grant you the lowest taxes and highest value. If you plan to grow, he’ll also tell you when to change your structure, which is especially common if you start with an LLC.
IRS Compliance
Taxes are one of your biggest expenditures. You must stay up to date with the latest state laws and IRS rules. Unfortunately, most business owners like you don’t have the time or energy to worry about tax laws.
Small firms, like Hayes Hunter PC, will sit down with you and help you make sense of the legal minutia. They’ll help you discern how your business structure impacts your taxes and where you can save money.
Hint: making donations may put you in another tax bracket.
Negotiations
What’s your argument style? Do disagreements make you anxious? Do you fear or avoid them?
When you argue, do you usually win? Think for a moment about how you handle conflict. Now, consider that conflict resolution is the key to any negotiation.
Expert negotiators excel in conflicts. They know when to apply pressure and when to compromise. They understand the importance of micro-expressions and body position because they’ve built a career on understanding human behavior.
So, the question isn’t how much to hire a lawyer for your negotiations. The question is how much that lawyer will save you.
Copyrights
How much of your software is covered under current copyright protection laws? Do you need to file paperwork to ensure you’re covered? What happens if that software reaches the public or stolen by your competition?
A knowledgeable copyright lawyer will walk you step-by-step through the laws that cover your business from theft. It doesn’t matter whether your product is digital or physical, financial software, or casual summer wear. Laws exist to protect you and your company, and your lawyer will simplify the legal jargon for you.
How to Hire a Lawyer
Now you know when to hire a lawyer for your startup, but you may not know how to hire one. The process is simple. Jump online to find available lawyers in your area.
When you’re ready, pick the top 5. Then, jump on the phone and start a conversation. Ask them whether they have experience in your field and pick the one that best suits your needs.
Suppose you have other legal questions, head over to our enormous digital library full of all things law. So long and good luck!
