As companies grow in size, they become increasingly likely to need corporate legal services. It’s a good idea for a growing company to begin working with a lawyer early on in its history to ensure that important decisions are made to provide both legal and financial security. The following are five reasons why seeking legal counsel as early as possible is a good idea:
Protecting Intellectual Property
For many types of company- especially technology startups- intellectual property is the most important asset that the company has. If another entity is able to use that intellectual property or- even worse- get a patent on it, the company’s chances of succeeding are destroyed. A lawyer can help a company protect intellectual property through his or her understanding of patent and trademark law.
Getting Funding from Investors
Nowadays, young companies can catapult themselves toward success by getting much needed capital funding. This can come in a variety of forms, including venture capital investments and public stock offerings. Law firms like Cohen, Placitella & Roth, P.C. offer investor protection as one of their practice areas, making them able to provide expert consultation to business owners who are seeking opportunities to acquire capital from investors.
Ensuring Compliance
It’s easy for companies to violate a law or regulation without even knowing it. A business attorney can prevent such a violation. In the long run, paying lawyer fees may be significantly more affordable than the fees or penalties that a company may incur by violating a securities law or employment law, for example.
Making the Right Business Decisions
The process of establishing a company is a complex one. A lawyer can help a new startup decide between establishment as a sole proprietorship, a corporation, a limited liability company, or a C corporation. There are many other important decisions that need to be made at a company’s outset, and seeking legal counseling while making these decisions can save business owners from any headaches down the road.
Avoiding Disadvantageous Contracts
Business owners frequently will sign contracts with partners, clients, employees, and more. It’s easy for an experienced young business owner to be hoodwinked into a disadvantageous counsel, so legal counsel is vital.
Finding an appropriate lawyer for your unique company requires research and persistence. Business owners wishing to learn more should shop around for an appropriate law firm that offers experience in providing the legal services they need.
