Legal Details for Your Start-Up Business
As an entrepreneur, it is natural to have worries about the necessary preparations and requirements for launching your business. Being new to the competitive landscape, you may have several questions about what you need to do to get your business running. Naturally, you will need to comply with rules and regulations to start your business, then proceed to assemble your team of employees who will help you with each aspect of your core operations.
While you may be focused on things like marketing and building your product or making production more efficient, another important consideration for small businesses is the decision to hire a business attorney. More often than not, new entrepreneurs overlook the importance of having a lawyer to guide them through legal concerns and business decisions.
If you are preparing to launch your start-up, you are likely wondering if you need to hire a business attorney or whether you can start your business without one to save money. Here are pointers and signs to look out for to indicate when you may need to find an attorney to assist you.
Incorporation Documents
Generally, you can find plenty of legal resources to help you learn about the regulations in establishing start-ups of varying business structures–whether it be a sole proprietorship, partnership, or corporation. However, if you are unsure of what structure is best for your start-up or you have more complex needs that do not readily fall into a single structure, you can seek the help of a business attorney who can help you go through your options and give advice on what decision is best for your circumstances.
Special Allocations
If you are establishing a partnership or limited liability company (LLC), you may encounter the concept of making special allocations. These business structures traditionally split profits and losses based on owners’ percentage interests, but with a special allocation, you want to modify the allocation. If this is something that you and your partners are interested in doing, it is best to seek the help of a business attorney, particularly one who specializes in entity structure, since the process is technical and requires the assistance of a professional.
Contract-Heavy Industry
If you are operating in an industry like technology and manufacturing, where you frequently have to draft and sign contracts, you can benefit from hiring an attorney. Though you may be able to do this on your own, it serves as extra precaution to consult with a business attorney to get help in outlining contracts to ensure you include pertinent details, as well as reading contracts offered to you to double-check all the terms and conditions.
Intellectual Property Rights
Every business, regardless of type or industry, will need to trademark its logo and brand symbols or markers. If you work in creative industries, such as those involved with the media, you will likely be dealing with intellectual property rights more often due to matters like copyrights and design patents.
While filing a trademark for your logo may be doable on your own, you may benefit from hiring an attorney if you expect to deal with patents and trademarks frequently since the process can get tricky. Some business attorneys specialize in intellectual property rights, so make sure to look out for a lawyer with expertise in this area.
All in all, the question of whether you need to hire an attorney for your small business truly depends on many factors. However, what is certain is that having the help of a business attorney will be beneficial, regardless of what your needs or objectives may be. Thus, before you get on to launching your start-up, it will be a good idea to review your legal needs.
Sources: https://www.nolo.com/legal-encyclopedia/making-special-allocations-29029.html