Can I Afford an Attorney for My Startup?

Can I Afford an Attorney for My Startup?

When you’re starting a new business there are many things to consider.  One key decision is if and when to hire an attorney for your startup.  It’s understandable, as an entrepreneur, you want to keep extra costs to a minimum.  Which is why many unfortunately put off the decision until they’re faced with a potentially serious legal problem.

However, legal help is something you should consider in the beginning of getting your business off the ground.  Hiring a lawyer will ensure you’re compliant with the law and resolve potential legal problems before they start. It will end up saving you money and headaches in the long run.

At the most basic level, start-ups need lawyers to help them deal with three groups:

  • The government: You also need to be sure you are doing business in a way that doesn’t create unnecessary tax liability and that you pay the taxes you owe.
  • Third parties and the public: It’s essential to make sure you take reasonable steps to control risk in your interactions with customers, suppliers, users, employees, and the general public.
  • Each other: When multiple people form a company together, it’s best to establish the rights and expectations of the founders upfront in case there are disagreements down the line.

If you’re on a limited budget, which legal priorities should you focus on?

  • Establishing a business entity of some sort (LLC or corporation) to protect you personally from business liabilities
  • Establishing the ownership and equity rights of the company if there are multiple founders
  • Ensuring the business’ intellectual property is protected and owned by the company (especially if it is being developed by independent contractors)
  • Making sure you are paying attention to the tax consequences of what you do

If you need help with determining the cost for using a small business lawyer, contact LexLaunch to discuss your options.  When you’re starting a new business we know every dollar counts.

We’re here to help you get the personalized legal advice you need at a price that won’t break your budget. We offer personalized small business setup plans at reduced rates from typical hourly fees. Click here to view our plans and pricing.

2018-09-18T18:02:13+00:00