Do I need a business attorney when starting my company? Many business individuals in Arizona make the mistake of assuming that they should contact a business attorney only in the same situations that you would go see the doctor in the emergency room: during a seriously urgent issue. Unfortunately, this is not the only time you should engage an attorney, and failing to get legal advice up front could come at a significant cost.
Having an attorney work with you for the founding of your company can be extremely beneficial. There are several primary reasons for getting legal advice right away. Building a relationship with someone you trust can end up giving you insight not just now but well into the future of your business. The two biggest reasons you need legal advice up front are for the purposes of your structure and your agreements.
Structure and Taxes
How you decide to structure your company when you start it up can have significant implications for the taxes you pay as well as the powers allocated to each individual. You also need to be familiar with various methods to shield yourself from liability and a knowledgeable Arizona business attorney can help you determine the most appropriate structure for your company. You will also want to have a relationship with this individual should you choose to change that structure down the road. Someone who already knows and understands your company is likely to give you the best possible insight about how your structure will influence you.
Many individuals in startups make the mistake of avoiding serious consideration of partnership agreements. What seems like a good business relationship now can quickly dissolve into conflicts and disputes down the road if you do not have clear documents that back up each individual’s role and how decisions will be made. Having a knowledgeable attorney craft these materials can be very helpful for minimizing disputes or giving you advice if a conflict does arise. Since your documents are the lifeblood of your business, make sure they are written properly and updated regularly.
These are only a few of the reasons that it is beneficial to engage with an Arizona business attorney. When you found your company there are many things that need to be addressed and many concerns that need to be considered by all relevant stakeholders. Having a perspective from an attorney can be very valuable during this time.
This blog should be used for informational purposes only. It does not create an attorney-client relationship with any reader and should not be construed as legal advice. If you need legal advice regarding Do I Need a Business Attorney When Starting My Company?, or any other litigation issues, please feel free to contact us at 480.461.5300, log on to udallshumway.com, or contact an attorney in your area. Udall Shumway PLC is located in Mesa, Arizona and is a full service law firm. We assist Individuals, families, businesses, schools and municipalities in Mesa and the Phoenix/East Valley.