Here’s Why Your Startup Business Needs a Lawyer Now
Updated: Oct 24, 2020
When starting a business, you need to do it right. If you are already going to spend a good amount of money to fund your venture, you might as well make sure that you get started on the right foot.
Different laws apply to different businesses, depending on the specifics. Whether you’ve decided to do it alone or with family members or friends, there are obligations that you need to fulfill to get your company up and running. This is where you will need to consult a corporate lawyer.
Legal issues you’ll need a lawyer for
Forming a company as a legal entity, whether as a corporation or limited liability company, is the very first reason you will need the help of a corporate lawyer. There are a number of factors that need to be considered when choosing an entity. For one, you’ll need to decide whether you’ll be a venture capital company in need of private fund raise or self-funded company that need a sound corporate structure, or perhaps both. By forming a legal entity with the state you are protecting your investment since you won’t be personally liable if anything goes wrong in the future.
When there is more than one founder, a legal agreement is necessary to resolve conflicts and to avoid expensive litigation in the future. It’s possible that you and your business partners will have a misunderstanding and end up breaking up the company. If that happens, you will need the help of a startup lawyer with profit sharing, division of responsibilities, and equity splits, among others.
Trademark protection is a crucial part of protecting your investment. This makes sure that any competitor will not be able to legally use anything similar to your brand or logo, which can cause confusion for customers. A corporate attorney can help you prepare and file your application, which will require you to make several legal decisions.
If the nature of your business requires a dedicated space, like a clinic, restaurant, supermarket, or gym, a business law practitioner can help you with a long-term commercial lease. One of the contracts that often lead to a dispute is commercial leases because they tend to be more favorable to landlords. Your attorney will help you evaluate the lease terms to ensure that they are fair and will keep you protected if something happens.
You will need to furnish contracts to employees or even to independent contractors. The contracts will have details of job scopes, compensation and benefits, grounds for termination, and confidentiality obligations, to name a few. A corporate attorney will help you ensure that employment contracts are fair to both your company and the employees to keep you from getting in trouble with the law.
These are just some of the most important aspects that will require the help of a business law practitioner. An experienced attorney will see through the big picture and guide you through the process tailored to your need and direct you to the right resources. This is why it’s essential that you find the right lawyer specializing in business, corporate and securities law to help you with your startup’s legal needs.