Entrepreneurs’ Legal Resource
Entrepreneurs are always watching the bottom line. That is perfectly understandable. You are in business to make a profit. You must keep a sharp eye on expenses.
Most entrepreneurs are never going to run afoul of the law. Business owners can go a lifetime without ending up in a legal dispute. We hear about how we live in a “litigious society” but the truth is most people will go through life without even meeting somebody who was involved in a lawsuit.
Because of that most small business owners never bother to budget for an attorney. That is a natural response to a problem that doesn’t seem to exist. It comes with some risks, though. Those risks far outweight the benefits. It takes some forward thinking.
Most Entrepreneurs Do Not Budget for Attorneys Fees
For those who do run into a legal problem, the results can be a disaster, even if they come out as a winner. That is why smart entrepreneurs are knowledgeable about those areas of the law that might have an impact on their business.
One of the areas that entrepreneurs seem to neglect concerns answering the question about the right business entity. A business entity is the type of business structure you use to run your enterprise. Should it be a partnership, LLC or corporation? Frequently entrepreneurs are not making the right choice. It is because they are making that choice without having first sought counsel from an attorney and an accountant.
Who Is Responsible for That?
Do you understand that with a sole proprietorship you are personally responsible for all of the debts and liabilities of your business? That means if you decide you need to place a big order for supplies or inventory and then you unexpectedly suffer a business downturn you are still on the hook for the bill.
Maybe you have thought about a corporation. Many entrepreneurs take that route. It is a good for some, but not for others. There are certain paperwork requirements that go with having a corporation that many entrepreneurs do not follow. In that case you lose the benefit of your corporation.
And then there is the LLC. There are less paperwork requirements for an LLC. But it is not a good idea to just go online and set one up without good legal advice first. There is more to having a proper LLC than just the initial paperwork.
Entrepreneurs Should Not Go It Alone
The bottom line here is do not try and go it alone. The money you save by getting good legal advice first is going to be money well-spent. Getting the right kind of advice before you get into a legal quagmire can result in saving you thousands of dollars.
As a speaker I teach entrepreneurs how to avoid costly legal mistakes and avoid budget-busting attorney fees. As a coach, I help entrepreneurs take their business to the next level quicker than they can do it themselves.
I do not serve as their attorney, but I do use my skill and experience as an attorney to help them stay out of trouble.
If you would be interested in learning more about how I can help you, contact me. I will give you a free session of up to one hour to assess your situation and help you see how you can achieve you dream.
Please feel free to leave a comment and let me know your thoughts.