Do I Need a Business Lawyer to Start My Own Business?
September 23, 2021
Business law can be very complex, so it takes a business lawyer to get a company started, operate, and continue. Business is dealing with the public no matter what field you are in. Dealing with the public can bring so many problems at the drop of a hat. It can cost a business owner money, their company, their reputation, and everything they own if things are not done through legal procedures. Only a business lawyer knows and keeps up with the day-to-day changes in business law. They can read through the loopholes and save the business owner a ton of headaches and heartbreaks. Aside from the public, business-to-business deals can go south. Only a business lawyer can save your company.
Starting Up the Business
There are three main types of businesses. Sole proprietorship, Limited Liability Company (LLC), and Corporation. It takes a massive amount of paperwork, and all the items must be written to the company’s benefit with nothing left out. Business attorneys have the proper paperwork for LLCs and Corporations to protect the company’s best interest. LLCs and Corporations can lose everything, even personal items if the paperwork is not written or filed correctly. Only the company can be sued with the proper paperwork, and the company is responsible for itself. Personal belongings such as vehicles and homes are safe.
Sole proprietorships are different as they are not labeled under any stipulations that can bury a business in certain situations. For example, a Sole Proprietorship is noted as a DBA, Doing Business As a company. There is no tax ID number as they use their social security number for tax purposes. Only LLCs and Corporations have tax ID numbers. The business owner only has to get paperwork from the courthouse notarized and filed in the county courthouse to show they are a business. LLC and Corporations file through the Secretary of State they are operating in.
Dealings with the Public
The public can make or break a business at any given moment. After all, it is for the public a company is doing service. If a person or group of people find fault with the company or get injured on company property, the business owner will need an attorney who will advise them, fight for them, and possibly go to court for them. It is in a company’s best interest to have a kind of lawyer before they even think of starting their business. They need one they can trust and have with them throughout their business.
Sole proprietors should have an attorney handy when they need it. It is not as critical if they have businesses that are not directly in the public eye, but nowadays, you never can tell because someone will try to find some way to make an easy dollar off of any business in a lawsuit. The law changes so much that they would find it in their best interest to have an attorney answer any questions. It is best to think ahead than be needy at the last minute.
Business to Business Legal Needs
These businesses dealing with retailers or other types of distributors can find themselves in a predicament where legal action or defense is needed. Companies can be as harsh as the public, if not worse. They are looking out for their business, and if the business they are working with messes with their organization, litigation is not far behind. It is almost impossible to represent yourself as a business owner in a lawsuit. There are different reasons lawsuits may occur between businesses. Some are as follows:
- Faulty or dangerous products distributed.
- Breaches of contract.
- Legal disagreements or disputes.
When a business picks up another company as a client, contracts must be understood and signed. A business attorney can draw up these contracts and have them bind in court should some disputes arise. Contracts are the foundation of agreements and are the only way to show proof of business transactions among companies in court. The first thing a judge will look at is the contract and all the parties who signed the agreements. If the contract is faulty and not written correctly, the entire case may be dismissed.
It is the Safest Bet
If a business is to prosper fairly and legally, it is the safest bet to have an attorney at the company’s birth. This will eliminate all problems from the beginning and leave the business owner feeling safe and secure knowing they are covered legally. Anything can happen, causing the fall of a company of any size, and it is tough to keep up with competition and common problems within a company. The main focus of the business owner should be the business and let the attorney handle the rest.