For small businesses, it is often difficult to determine if an attorney’s services are necessary. As they come at a high cost, most owners are hesitant to pursue help. When the company faces a serious legal dilemma such as an investigation for fraud, of course, they will need an attorney’s defense. However, for more regular circumstances such as starting or selling a business, do you need to have an attorney?
It’s a balancing act. A company does not need an attorney to handle situation. However, there are times when thorough legal knowledge is crucial.
For the following situations, you will need for a lawyer to be involved. First, if you would like to designate special allocations to profits and losses. Because this designation is very complicated, it is necessary to have a tax attorney assist the process. Also, you will need a tax attorney if property is to be contributed to an LLC. If you are purchasing a business and there are environmental concerns, an environmental lawyer must be consulted. If you own contaminated land, regardless of whether or not you caused the contamination, you can be fined hefty penalties. Lastly, if at any time an employee threatens to sue the business for discrimination or sexual harassment, it is imperative you find legal counsel to protect the company.
Failing to hire a lawyer in any of the above circumstance can result in serious harm. The cost of hiring an attorney will be much less than the probable damage that will occur if the issue is not dealt with properly. It is important to find an attorney who is experienced in your particular business area, so they are experts in the field.
However, there are many times that you can do tasks without hiring a lawyer. As long as you properly research the procedures, you can handle them on your own. You should be fine reserving a trade name or trademark for your business. You can also file a fictitious business name statement if you would like to do business under a different name. You can create contracts with clients for service or goods. Even an IRS audit does not necessarily require the assistance of an attorney. Of course, you will want to read lots of related literature so that you perform the tasks appropriately.