Business lawyers are an essential part of any LA startup. They can help new business owners set up their company in an effective way to prevent time-consuming legal claims. This article will explain these 5 topics:
- How a business attorney can help you
- How much does a business attorney cost
- When don’t you need the help of a business attorney?
- How to find a business attorney
- Questions to ask a business lawyer before you hire them
How a Business Dispute Attorney Can Help you
A lawyer is not just useful when facing litigation; they can help with a number of business tasks. Some of the tasks a business lawyer can help with are:
- Negotiating favorable real estate contracts
- Selecting an entity
- Creating partnership or founders’ agreements
- Protecting your startup’s intellectual property
- Developing legally compliant employment practices and procedures
- Classifying your employees correctly
- ADA compliance
- Civil litigation
- Raising venture capital
- Reviewing and negotiating contracts
How Much Does a Business Attorney Cost?
According to business dispute attorneys in San Diego at the California Business Lawyer & Corporate Lawyer, Inc. the cost of hiring a business lawyer can vary significantly; the cost will be based on a number of factors, like the local cost of living, the experience of the lawyer, the types of clients they work with, and the size of the law firm. As a startup, you should try and work with business lawyers who specialize in working with small businesses or startups. They will have fees that reflect the budgets of those types of clients and be able to anticipate your needs a lot better.
A wrongful termination lawyer in San Diego at the Nakase Law Firm said that attorneys cannot give an estimate of how much it will cost to hire a business lawyer, as the price does vary significantly. But we can give you an overview of the way they may charge you for different services. There are a number of fee structures a business lawyer may use, but these are the most common types. Make sure you speak to an attorney about their fee structures and fees before hiring them.
- The most common fee structure is the hourly rate. It ensures the attorney is compensated for the time they spend on the task. When being charged an hourly rate, it is important to be clear about the scope of the task and what may affect how long it takes to complete the tasks. A business lawyer should be able to give you an estimate of how long it may take them, but remember that unexpected factors may cause it to take longer.
- Many startup lawyers will use fixed fees for certain routine tasks like incorporation paperwork or writing a contract. This is because they do the task regularly, and there is little room for outside factors causing the task to take longer. The rate will be set in advance, and there are no nasty surprises for business owners.
- If you require regular help from a business lawyer or want to be able to call them whenever you need help, you might consider a retainer agreement. This means that you pay them a set fee every month that guarantees you a certain amount of their time. You will pay this fee regardless of whether you need them that month or not.
- When filing a lawsuit to recover compensation, a business lawyer may offer a contingency fee to their client. The client will not pay anything in advance, instead, the attorney will recover their fee as a percentage of the compensation they recover.
When talking to a business lawyer, ask them what their hourly rate is so that you can compare prices. If you are a startup, you should also request a list of their fixed fee rates for common startup services.
When Don’t You Need the Help of a Business Attorney?
Knowing when you don’t need the help of a business attorney is just as important as knowing when you do need their help. As a startup, it is in your best interest to keep legal fees as low as possible. So you need to focus on the necessities rather than calling your lawyer for any question you have. If you are on an hourly rate, your business lawyer may charge a minimum time fee, so a quick question might result in an hour charge.
Consider when you need the help of a business attorney and when you can do a task yourself with the help of resources or a business coach. Some of the following tasks do not need the help of an attorney:
- Setting up or managing payroll
- Applying for an EIN
- Writing a business plan
- Applying for a business license
- Choosing a name for your business
- Choosing a logo for your business
How to Find a Business Attorney
One of the easiest ways to find local business lawyers is by browsing online legal directories. These will list attorneys who work in a particular speciality or a particular area. One of the best ways to find local business lawyers is to ask other business owners for referrals. That way, you can get a lot more information about how the attorney works and the pros and cons of working with that particular lawyer.
No matter which method you choose, be sure to research the attorneys thoroughly to whittle down your shortlist. Once you have it down to around 5 business lawyers, book a consultation with each of them to interview them.
There are many ways a business lawyer will benefit your startup, and hiring one from the start will save you a lot of money in the long run. But, to reap the benefits, you need to put the work into doing the legwork to find a suitable business attorney and knowing which areas they can help with and which areas they cannot. By knowing the areas that your business needs the most help, you can get the most bang for your buck.
If you require guidance for your startup, contact our small business lawyers today and book a free consultation. We have helped clients in a number of different industries open a new business and put the framework in place to build a profit. Whether you are a seasoned entrepreneur or looking for someone to walk you through the process, we are here for you.