Preventative Business Law

business The purpose behind preventative business law and how it helps you

Congratulations! You have finally decided to start your own business.

Starting a business can be exciting, especially when you’re going through your first steps. Becoming a business owner can be a profitable endeavor, but it’s important to ensure that you are protecting yourself as you build your enterprise. This is where a corporate attorney comes in.

Many new business owners mistakenly believe that they should only speak with an attorney when something goes wrong. They think that lawyers are only useful if their business is being sued or they run afoul of government regulations. However, the best way to use an attorney is to prevent negative circumstances from occurring in the first place.

This post will provide you with a few things on which you should consult an attorney. This will help you avoid many of the pitfalls into which many business owners fall.

Ensure That You Choose the Right Business Structure

When you’re starting a business, you need to understand how you should register your company with your government. This means knowing which business structure to choose.

Some of the most common business entities are limited liability companies (LLC), corporations, sole proprietorships, and general partnerships. Each type of entity has its own advantages and drawbacks. If you choose the wrong structure, you run the risk of running into expensive problems later on.

The type of entity you choose is largely dependent on the type of business you intend to start. An attorney can advise you on which entity you should choose, and can even make sure that your paperwork is filed correctly.

Obtaining the Correct Licenses

When you’re starting a business, it’s not just about choosing a name, registering with your government and then selling your product or services. In order to avoid problems with the authorities, you need to make sure you obtain all of the necessary licenses and permits.

Most business need several different licenses to legally operate. What makes this more complicated is the fact that each governing body might require specific types of licenses. Your city may require certain types of permits. Your county and state might also require other types of licenses.

It’s not always easy to figure out what licenses your business needs. An attorney can do the research for you and advise on which licenses to get. If you aren’t properly licensed, you could be subject to exorbitant penalty fees and fines, which is the last thing you want when you’re trying to get your business off the ground.

Drafting Contracts

Taking care of the legalities of starting your business isn’t just about keeping in compliance with your government. You also need to know how to protect yourself the right way.

Most businesses typically need to have certain contracts that they use for a variety of situations. Non-disclosure agreements, terms and conditions, and non-compete agreements are some of the documents you might need to ensure that you are covering yourself legally.

An attorney can tell you which types of contracts you should have, and they can also draft the agreements for you as well. You don’t want to try to draft your own contracts, even if they’re simple documents. One small mistake could end up costing you a lot of money.

Business ownership is one of the most exciting and challenging things one can pursue, but it’s not easy. Having an experienced attorney at your disposal will make your life much easier. If you’re looking for legal help, contact Pozzuolo Rodden, your premier Philadelphia business planning attorneys for a consultation.