In the months leading up to the opening of your business, you’re no doubt filled with a flurry of excitement. Even things that may have seemed like a drag are a bit more exciting as you plan out your store’s layout, customer promotional programs, or even coming up with a blog idea.
That’s because these are visual things that you can see working for your business. It’s going to be quite exciting to see the first order come through your website or have the first customer walk through the door. You see challenges as big opportunities.
One of the things that is certainly going to slow your roll is going through all of the legal mumbo-jumbo. There’s nothing enjoyable about paperwork and bureaucracy, but it’s a necessary step for any business.
Below, we’re going to run over some of the most important legal items that you should make sure and take care of from the start. The last thing you want to do is overlook these items and have them come back and bite you later.
Finding the Right Lawyer
Even though you may not think you need a lawyer, the odds say that one day you’re going to be involved in some form of litigation. You don’t want to wait until that day before thumbing through a phonebook (if you still have one of those) to find the perfect lawyer to represent you.
Finding the right lawyer can be difficult, but it doesn’t have to be. Make sure you find a lawyer who has experience with small businesses and can help you manage through all the good and bad times.
You’re going to want a lawyer to review your contracts or help you with other important documents that ensure all of your bases are covered. Having one that will work with you the entire way is a great benefit.
Putting Everything in Writing
Many times, businesses rely on handshake or verbal agreements in order to get things done. By and large, there is nothing wrong with these agreements unless they’re for something major.
Something major would be setting up a partnership or an agreement between a customer. If you don’t have something in writing, that just leaves a backdoor for you to be hurt later on down the road.
In this case, it’s always smart to leave a paper trail behind you.
Checking Availability
When you’re creating a business, you want your business name and idea to be unique. It makes the most sense for you and your customers. You don’t want them mistaking your business for something else and heading out to the middle of nowhere.
Double-checking to see if your business name is available should be one of your first steps when getting your business underway. That way, you can avoid any trademark issues and not interfere with someone else’s property.
Since everything is digital, you need to do the same for your website. Purchasing a domain name early is a guaranteed way to get yourself set and ready.
Choosing the Right Business Structure
While you’re probably up to your eyeballs with your business plan, you also need to think about your business structure. Your business structure is the legal organization of your business. It will determine what taxes you pay and what you’re liable for.
In short, there are four different types of business structures: sole proprietorships, partnerships, LLCs, and corporations. Each come with their own sets of advantages and disadvantages and the one that you should choose largely depends on your situation.
LLCs are the new guys on the block and many people are turning to them due to their hybrid nature and overall asset protection. Be sure to do your research and speak with an advisor before making a decision.
Protect Your Property
As a business owner, your brain is likely overflowing with various ideas and new ventures to undertake. You can’t keep it contained!
While all of those ideas are wonderful, you need to make sure you’re protecting your intellectual property. Intellectual property theft is a big deal and if you don’t have it trademarked, patented, or copyrighted there may not be much you can do.
Even if there is something you can do, you might be facing a lengthy court battle, draining your funds and energy.
Make sure you’re having partners and employees sign off on NDAs or other documents to keep everything in house.