According to data from Exploding Topics, up to 90% of startups fail, and about 10% collapse within their first year. While having a good business idea is a great way to start a brand, you also need legal help to ensure you do everything correctly.
A business formation lawyer will guide all your early decisions and protect your business long-term. They’ll also ensure you choose the proper business structure and follow all laws to avoid costly mistakes.
Having the right legal partner simplifies building a reputable brand, but how do you find them? Let’s discuss seven helpful business lawyer selection tips.
1. Understand Why You Need a Business Formation Lawyer First
When starting a business, you’ll have a lot of paperwork to complete, and you can easily miss some when juggling other tasks.
A business formation lawyer will handle all the legal documents and be strategic when setting up your company. They can also create comprehensive contracts with your business partners and investors to keep you safe.
Additionally, they’ll offer legal business setup advice tailored to your industry. Other reasons you may need a business formation lawyer include:
- Protecting your assets from business-related lawsuits
- Avoiding common tax pitfalls
- Reviewing partnership contracts
- Ensuring you’re legally prepared to hire employees and contractors
Knowing why you need a business formation attorney will set the tone for the selection process. When you understand the full scope of what they do, you’ll be more confident when choosing a professional.
2. Look for Relevant Experience and Specialization
An ideal business formation lawyer should work with startups or small businesses regularly. They must also be familiar with different business structures and understand the corporate formation guidelines for your field.
If you’re starting a restaurant, for example, find a lawyer who knows about food safety rules and health permits. On the other hand, if you’re starting a tech company, choose one that’s familiar with intellectual property and software contracts. Here are some questions to ask in the selection process:
- How many businesses have you helped form?
- What industries do you specialize in?
- Can you help with other tasks beyond formation?
A lawyer with the right background will give you insightful startup legal guidance. They’ll also help you navigate complex contracts and ensure your business formation aligns with your long-term goals.
Boyer Law Firm, P.L. has knowledgeable business attorneys with experience in every aspect of business and corporate law. With our services, you can solve complex legal matters without putting your brand at risk.
3. Evaluate Their Communication Style
Since you’ll be working closely with your business formation lawyer, it’s vital to choose one with excellent communication skills.
An ideal professional should explain legal concepts in simple language and address your concerns. Other signs showing that a business formation lawyer is a good communicator are:
- Responsiveness
- Transparency
- Patience
- Active listening
Before hiring a lawyer, check their body language and how they respond to your questions. Ensure they:
- Engage you
- Listen actively
- Ask follow-up questions to clarify your needs
4. Check Their Reputation and References
Online reviews and client feedback will tell you a lot about a business formation lawyer. Read the reviews of the professional or company you’re considering on platforms like:
- Yelp
- Avvo
When reading reviews, check what others say about a lawyer’s professionalism and helpfulness. If you still feel skeptical, don’t hesitate to ask for references. A good lawyer will be open to connecting you with former clients willing to share their experiences.
5. Understand Their Fee Structure
Lawyers often use different billing methods, and knowing what to expect will help avoid surprises. The most common types of fee structures you might come across are:
- A flat fee
- An hourly rate
- A retainer
If your lawyer charges a flat fee, you’ll incur a specific amount for all business formation services. Such a payment agreement is standard for straightforward tasks, like filing paperwork for forming a corporation.
With an hourly rate, you’ll pay your lawyer based on the time they spend working on your case. On the other hand, a retainer will require you to pay upfront for a block of hours or services. Once you use up your retainer, you may need to pay more for additional work.
Retainers are popular for ongoing legal services, but some business formation lawyers offer them for initial startup services.
At Boyer Law Firm, P.L., we offer various fee structures, including:
- Consultation fees
- Hourly rates
- Retainer fees
When you reach out, we’ll discuss your business structure and legal needs to provide a customized quote.
6. Assess Knowledge of Local and State Laws
A local lawyer will know how to establish your business within the law. If you’re opening a food business in Florida, for example, go with a professional who understands local health department rules and food service licenses.
On the other hand, if you’re starting a home-based business in Miami, ensure you hire a lawyer who knows the local zoning laws. Here are a few questions you can ask to assess your lawyer’s knowledge:
- How long have you been practicing in this state?
- Do you work with the local business licensing office regularly?
- Are there local programs or tax breaks I might qualify for?
7. Determine Availability for Ongoing Support
After setting up a business, you may still need a lawyer for contract negotiation tips and business success strategies. Choose a professional who can offer long-term support with the following:
- Writing employment agreements
- Handling lawsuits
- Selling your business
- Managing business compliance checks
Selecting a lawyer you can trust and rely on in the long run will avoid the stress of finding legal help during a crisis. You also won’t have to explain your business again, and you’ll feel confident making big decisions.
Find a Knowledgeable Business Formation Lawyer Today
The right business formation lawyer will set your company up for success and protect your assets. Choose one with relevant experience and ensure they are great communicators. Read reviews to learn about their reputation and ask if they offer other long-term services to support your business.
Boyer Law Firm, P.L. has served local and international clients for 15 years. Our top attorney, Francis M Boyer, has a 10.0 Avvo rating, reflecting our dedication to excellence and client satisfaction.
Contact us for a consultation.