Understanding Why Small Businesses Need Lawyers

Having your own lawyer always sounds like a luxury that only belongs to large corporations or extremely wealthy people. This is sad because many small business owners fail to understand what a business lawyer can do for them. In order to rectify that, we should probably look at the roles that lawyers play in the operation of a business.

One of the roles is a transactional lawyer. A transactional lawyer is a builder, like the small business owner. They are the perfect partner when it comes to forming strategies, avoiding disputes and seizing opportunities. The long-term success of many small businesses is owed to the hiring of the right attorney.

Hiring a litigator can be expensive. Small business owners are better off putting that money to better use by hiring a builder.

A builder works behind the scenes. It is not about the spotlight for them. It is about resolving disputes before they go to court. Builders are more interested in making sure your business is still running and that it is staying out of legal trouble. Think of a builder as a coach. The builder’s knowledge of the law can be applied to actually growing your business. In the long run, hiring this type of lawyer does not cost money. It makes money.

So where do so many small businesses go wrong? Aside from harboring misconceptions about the role of a lawyer in the first place, small business owners often take too long to hire one. They wait until legal issues turn into a legal problem or dispute (in such case, the small business owner will need a litigator). In other words, the problem makes it to the courtroom, which is like waiting until a person with the flu has to be rushed to the emergency before addressing the symptoms. It is expensive and unnecessary. This can kill a business. 

Avoid this. Invest in your business. Be proactive. Have your lawyer look into trademark protection for your brand name. Have him or her make sure that any contract you sign works in your favor. Meanwhile, all those resources you could have wasted by waiting can be diverted toward marketing, sales, product development and more. You should have a budget, anyway. Just be sure that legal expense is one of the items on it. This way, you are in control of your business and the money spent.