How An Attorney Can Help You Set Up A Business
It’s a big step to set up a business and hiring an attorney can feel intimidating. However, by getting legal counsel early on in your business’ lifecycle, you can help make sure that everything starts on the right foot. Since a business entity will be the legal foundation of whatever enterprise you are involved in, it is key to get it right the first time. By doing so, you can minimize stress and conflicts and focus on the core of your business.
How Can An Attorney Help You Set Up A Business?
When it’s time to set up a business, taking a proactive approach is key. And the good news is that good legal counsel can help you simplify any legal issues that you might have. Here are the main ways a lawyer can help:
- Choose the right business entity. When people are looking to start their own business, one of the first questions that they often ask is: what is the correct business entity for me? Depending on what kind of business you will be running, there will be different ways that you might choose to set up a business entity. You might choose to go with an LLC, a corporation (C-corp or S-corp?), a partnership or something else entirely. Each has real advantages and disadvantages and an attorney will be able to help you understand which would be the right choice for you.
- Help you write a clear operating agreement or by-laws. Every business entity has some type of internal agreement. For an LLC, this will be called an operating agreement, for corporations this will be called the by-laws. When you set up a business, these agreements will clarify the rights and responsibilities of each owner. It will also cover things like what happens if someone wants to enter or leave the business, among many others. Getting the internal agreements right helps to avoid conflicts down the road – and there is never a one-size-fits-all solution.
- Clarify the requirements for the business entity you choose. When you set up a business, you have to do certain things to maintain that business. Each type of business entity has specific requirements that must be followed (see, for example, what it takes to maintain an LLC) – and if they are not, the legal consequences can be messy
- Advise you on changes to your business. Adding a new partner? Letting one go? Changing your line of work? All of these might trigger some type of legal decision that must be made. By involving an attorney, you can make sure that you understand all of the options and that your actions are in compliance with applicable laws and regulations.
- Answer questions that come up. Even after you set up your business, you might have questions. They might be questions about your entity, or they might be about business practices in general. In that case, it’s key that you have someone you can call to get answers quickly and with a minimum of fuss. A good lawyer will not only help you set up a business, but help educate you on legal issues along the way.
If you’re thinking about setting up a business, let’s talk. Our law firm has helped many creative people get their business moving in a way that is simple and affordable. Feel free to email us or give us a call and we can walk you through the services that we offer and help you understand what we can do to help your business grow and stay on track.