what lawyer should i hire if i want to start a business

At the start, the two professionals you will need to hire are an accountant and a business lawyer. Hiring the right lawyer for your startup is an important decision because your lawyer will help you with almost every step along the way.

Full Answer

Is an attorney essential when starting my business?

Unfortunately, there's no easy answer to these questions. Whether you need an attorney to start your business depends in large part on what legal type of business you're starting. The simpler your business, the less you'll need an attorney. A sole proprietorship is the simplest business form.

How to find a startup lawyer?

Whether you're a seasoned runner or have contemplated just jogging a city block, these beloved instructors have got your endurance needs covered. This coming Sunday, about 33,000 runners will take to the streets of the famed five boroughs for the 50th TCS New York City Marathon.

Should I hire a lawyer when selling a business?

preliminary negotiations. drafting a formal agreement and pre-closing review. closing. As early as possible in the process, it's a good idea to consult a lawyer and a financial adviser to help make sure that you get the deal you're after.

What does a business lawyer do?

• Developing a big picture of the situation to determine cause and responsibility — research of paperwork, facts, and situation.
• Determining what, if any, experts are required during litigation.
• Identifying case law and precedent in support of/against the assertion.
• Writing briefs for court submission that – Delineate the facts of the event. ...

More items...

Should I speak to a lawyer before starting a business?

There are several legal ramifications of starting a business. It can lead to issues related to liability, copyright, employee rights and everything in between. So one of the first steps you should take as you work to get your business off the ground is speak with an experienced business attorney.

What do startups need from lawyers?

Startups need lawyers when lawyers provide the best, value-driven solution for specific problems the startup is facing. This will change from one startup to another. Here are some variables: Company formation: In most cases, you don't need a lawyer to set up a company, and it will be overkill to use one.

What are multiple reasons you need a lawyer for a startup?

For this and other important reasons, you most likely will need a lawyer for your startup.Contracts. Most businesses execute contracts for space, services, and supplies. ... Registering, Licensing, and Permits. ... Business Form. ... Multi-State Business. ... Strict Conformity. ... Capital. ... Variety of Entities. ... Autonomy.More items...•

Why do companies need lawyers?

A Business Attorney can guide you on the applicable regulations, codes, and laws related to hiring employees or independent contractors. The right legal advice will prevent you from possible claims for discrimination, misclassification of employees, or braking state and federal laws.

Is Legal Shield legit?

For the first question, the answer is no… it's not a scam. Unlike some shadier MLM type schemes like 30-Day Success Formula and Impact Mailing Club… Legal Shield is a legit company with a real product. Having said that, the way in which some Legal Shield consultants market or sell the opportunity, may be a scam.

Why do small business need an attorney?

Existing small businesses have their share of legal issues to contend with and often need a lawyer to help get a resolution that benefits them best. These situations include things like debt collection, hiring and firing employees, and dealing with a lawsuit that has been filed against them.

Why is it important to hire a lawyer for a startup?

Hiring the right lawyer for your startup is an important decision because your lawyer will help you with almost every step along the way. Your lawyer will guide you through some of your highest highs (raising your first round of funding) and your lowest lows (firing your first employee).

What is a law firm?

Law firms are typically composed of partners, associates, paralegals, and interns. Not all are structured this way, but most are. It is essential that you understand whether the attorney you’re interviewing or a first-year associate will be doing your legal work; and, whether or not that matters to you!

Why do law firms have retainers?

Some law firms provide the option of a monthly retainer to pay in advance for services you use throughout the month. Monthly retainers can help you budget and feel at ease for the hour phone call or simple contract you need drafted because you already budgeted for the time.

Should I hire an attorney for my startup?

Similar to dating, hiring an employee, or choosing the right sweater, you must feel comfortable with the decision and that the chosen lawyer is the right fit for your startup. We hope this article helps you get it right the first time!

Do I need an outside counsel for a startup?

It is up to you to decide whether your startup will require an outside counsel (a law firm) or inside counsel (an employee of the startup). Typically, startups hire outside counsel at the onset, and eventually hire an in-house counsel to assist with business operations and regulatory matters while continuing to retain outside counsel for more specialized legal matters.

Can I register my business online?

You might be able to register online with your state or use an online service to register your business, but it might be a good idea to use an attorney if your business is at all complicated. Corporations or S corporations must register with the state as well.

Do I need an attorney to start a business?

The simpler your business, the less you'll need an attorney. A sole proprietorship is the simplest business form. It doesn' t require that you register your business with your state, so no, you probably don't need an attorney ...

How can a business lawyer help you?

A business lawyer can help you build and maintain good relationships with your customers, clients, partners, and suppliers by creating the appropriate communications vehicles. If you are asked to sign agreements and contracts with others, a lawyer can review them for you and keep you out of trouble.

Why is hiring a lawyer important?

Hiring a business lawyer is just one step that positions your business for success. There’s no telling what types of challenges you and your business will face during your venture, which is why it’s extremely important to prepare for the worst.

What does a lawyer do?

Lawyers work with a lot of people. Some may even able and willing to introduce you to some of their connections in a way that benefits your business. In addition to minimizing risk, an attorney can help you maximize value. A good lawyer can tell you about special tax benefits of one type of incorporation vs. another type.

Can a company founder get into trouble?

It is possible that a company founder can get into legal trouble to the extent that the federal government starts an investigation. Issues can stem from IRS filings or financing laws or securities questions, or any of a dozen more possibilities. A business transactional lawyer has the experience to help you with the legal maze you will face.

Can an inexperienced entrepreneur take on unnecessary liabilities?

Inexperienced entrepreneurs can take on unnecessary or unusual liabilities and dilute or spread equity too much. Before signing any terms, it’s a good idea to have a lawyer advise you on the soundness of the agreements you make. You can avoid traps from investors who want to take advantage of you. 10.

What happens if your business doesn't cause environmental problems?

An environmental issue arises and your business is involved (even if your business didn't cause the environmental problem, you may be penalized) Negotiating for the sale or your company or for the acquisition of another company or its assets.

Do you need legal help when it's too late?

But when you do, it's good to know where to find the right one. And -- more to the point -- you may not know you need legal help until it's too late, as attorneys can help you stay in compliance with the law and spot developing legal issues early.

What can an attorney do for a business?

An attorney can assist you with partnership agreements and corporate bylaws. Contract review: A lawyer can help you in drafting and negotiating contracts. Handling employment issues: As a business increases its workforce, a business attorney can help keep up with labor laws and lawsuits.

Why is it important to invest in a small business attorney?

Because of that, many small business owners scramble to find the right business attorney only when faced with a grave legal problem (for example, getting sued by an employee or a customer.) That’s why it’s essential to know that investing in a small business attorney early on will often save you a bundle and help your business thrive in ...

What is flat fee for business?

Good Business lawyers charge flat fees for simpler projects like setting up your entity and drafting short contracts. Flat fees are usually less expensive than an hourly rate for the same project and help you save money. Monthly retainer fee.

Why is it important to look for a good business lawyer?

Your business should have strong legal representation to handle matters like trademark and copyright concerns, zoning compliances and licensing issues. Small business owners and leadership members still learning how to function may need lawyers to teach them basic legal terms and help negotiate contracts.

Things to look for in a good lawyer

An effective lawyer should have experience and be willing to build a strong relationship with you to learn more about your industry. Here are things you should look for in a good lawyer for your business:

Interview questions to ask potential lawyers

When you interview potential lawyers to represent your business, try to find one you can build a strong relationship with who is knowledgeable about both your industry and company. Common interview questions to ask business lawyers include:

Business lawyer FAQs

Below are frequently asked questions organizations may have when hiring a good lawyer:

What are the most important things to do in business?

10. Contracts. Most businesses execute contracts for space, services, and supplies. Businesses often have agreements between partners, investors, and employees. It is important to get it right so you don't end up in court. 9. Registering, Licensing, and Permits.

What are the laws that fill in the gaps for business entities?

Most states have adopted "Uniform Laws" that fill in the gaps for business entities where their charters, by-laws, and other organizing documents are silent. You may be subject to a whole set of laws and regulations that you don't even know exist. 2. Tax.

What are the options within a business entity?

3. Autonomy. With many business entities, the things you don't decide are decided for you.

Do I need a lawyer for my startup?

In most cases, you're going to need the services of a lawyer for your startup, perhaps for tax services or employment law compliance. Whatever the reason, make sure you contact the right attorney for your needs.

Can I start a business by myself?

Some people opt to start the business by themselves or with family members, while others have partners or other investors who will not be involved with the day-to-day affairs of the business. The laws that apply to start-up businesses differ based on the specifics of the situation, and even business people who decide to go it alone have options ...

Can I do business in another state?

The preconditions to forming and conducting a business entity in one state may not be accepted in another state. If you are not careful, the protections you have in your home state of operations may be lost if you do business in another state. See the State Business Laws section for more details. 6. Strict Conformity.

Why do small businesses need a lawyer?

Small businesses rely on lawyers to provide legal expertise in some areas, which they might not be well-versed. These include the knowledge to:

When do new small businesses typically use a lawyer?

The specific scenarios when start-up small businesses often choose to consult a lawyer include:

Do I need a lawyer to start a small business?

Retaining the services of a lawyer is not required as a condition of starting a business. In fact, many of the steps of starting a business cited above can be performed without a lawyer. This means the decision to hire a lawyer or go the DIY route depends on your business entity.

Do I need a lawyer to start an LLC or corporation?

LLCs can benefit from a lawyer as these entities often require filing articles of organization (or a certificate of formation) with the state, the appointment of a registered agent and adherence to other regulatory requirements. Therefore, consider creating an operating agreement.

How to Hire a Qualified Small Business Attorney

Educate yourself about legal issues: Small business owners spend most of their time on the day-to-day work of running a company, but they still need to have a general understanding of the legal issues that can crop up. Before you hire an attorney, familiarize yourself with the basics on contracts, business structure, and human resource law.

For More Information

To learn more about hiring a small business attorney, see these resources from the Federal Trade Commission (FTC) and National Federation of Independent Business (NFIB). The American Bar Association has helpful tips on finding an attorney.