As you scoot past our headline, one thing is certain. You’re either frowning at what you perceive as a lack of political correctness – or thoroughly enjoying it. In this case, it’s not necessarily what you think. You surely need to mind your business if you want your company to prosper.
Of course, there’s the inference that minding your business means avoiding conversations that do not involve you. That said, you might want to consider another connotation of the exact same phrase. Quite literally, how are you handling the formation of your business, as well as its operation?
If you’re a start-up company, it may be that you have limited funds. Therefore, you turn to the internet and find the documents to open up your company. As you see it, you are a fantastic researcher and see no reason to retain the services of an attorney with experience in commercial and corporate law.
A few clicks of your mouse and a download of some inexpensive or even free forms and you’re in business. At least, it appears that all is well. Unfortunately, your decision can cause you tons of issues. Some of the problems encountered by people who use “do it yourself” legal kits for business formation include:
- Forms are outdated
- Entity type does not fit the business model
- Generalized documents do not reference state issues
- Risk. Risk. Risk.
Yes, there is a risk in utilizing forms you find in different databases throughout the World Wide Web. A lack of specificity could make for a real conundrum – as could a document that has nothing to do with how your company plans to operate.
Your Business and Legal Advice
Here’s a consideration that is of great import. Who are you going to call if you have legal questions concerning the forms you plan to use? It’s unlikely that any form vendor will help you out. Instead, you may decide to research the issue yourself and come up with your own answers.
Have you heard? It was Abraham Lincoln who said that “He who represents himself has a fool for a client.” While this phrase is most often used in conjunction with lawyers who elect to take care of their own legal affairs – it is appropriate to every business person who makes unwise decisions of the same nature.
It’s not just that you need a lawyer to see what type of business entity works best for your company. For example, you may be right that an LLC makes perfect sense. However, you have other considerations such as the following:
- Determining what happens to your business if you retire or die
- Drafting agreements and contracts
- Protecting yourself against employment issues
- Ensuring your company is in compliance with local, state and federal laws
- Negotiating contracts and even prospective sale of your business
- Providing defense against any claims
Again, these are just some of the basic ways experienced corporate lawyers give their clients some peace of mind.
We understand how important it is for companies to get off on the right path and stay there. Contact Fellerman & Ciarimboli to learn more about how our office can assist you. We help start-ups and existing businesses with experienced legal advice.
With more than 40 years of combined experience, the personal injury attorneys at Fellerman & Ciarimboli strive to provide the best service to clients in Philadelphia, Northeast Pennsylvania, and throughout the Keystone State.