Do I need a business lawyer for my business?

It’s one of the most common questions and concerns entrepreneurs or business owners ask when first starting. Do I need a business lawyer?
The general perception is that business lawyers charge high fees, perhaps higher than a small business owner can afford. Typically, many entrepreneurs have a reactionary approach to hiring a lawyer. Business owners might wait until there is a serious legal issue, like contract disputes or being sued, before looking for an attorney. Business owners can often save money by hiring a lawyer before issues arise. Plus, it will give you more confidence in the start and help your business in the long run.
Whether you’re just starting or you’ve operated your small business for a while, you can benefit from finding an experienced and trustworthy business lawyer now. Finding and hiring a lawyer on goodlawyer.ca is practical, cost-effective, and can help your business grow.
What is a business lawyer?
A lawyer who practices business law can guide you through laws and legal issues related to business operations. Their job is to educate their clients on laws and best practices that apply to their business. Your business attorney will also represent you and your business if a legal issue arises.
A business law lawyer can help you solve complicated problems and help you understand any business-related legal issues, what challenges you might face in the future, and how to avoid them. Because business law is constantly evolving, your attorney must be familiar with current standard business practices and business law.
How can a business lawyer help?
Ideally, your business should have a lawyer from the beginning. If you don’t have one, it’s not too late to start. There will be times when your business will face complex and time-consuming issues that can be serious liability issues if not dealt with by an educated, experienced professional.
Here are a few examples of situations where entrepreneurs typically need to hire business lawyers and begin searching for “a business lawyer near me.”
Contract reviews
A lawyer should review any legal contract your business produces. Contracts can exist between various parties, including business owners, employees, contractors, vendors, and clients. A business lawyer can review acquisition agreements, bills of sale, lease agreements, employee contracts, waivers, purchase orders, shareholder agreements, warranties, and many other legal documents.
Having a corporation lawyer look over your contracts will ensure they’re legal, free of loopholes, and admissible in court. Essentially, contract review will ensure those contracts protect you in case of issues or disagreements.
Contract disputes
What happens if someone disputes or breaches a contract? What if you have clients who won’t pay their bills? What if an employee shares confidential information? Your business lawyer will explain the legalities of each situation, negotiate, and advocate for you. In addition, if required, your attorney will file a lawsuit.
Resolving claims
If someone makes a claim against your business, your business law lawyer will be there to educate you on applicable laws and represent you. For example, you’ll need a lawyer if a former employee sues your business on claims of discrimination, hostile work environment, workplace safety, or issues around sick leave. Even the most well-meaning business owner can run into these problems.
Government investigations
If you don’t understand the ins and outs of business law, you could unknowingly violate a regulation. Your business lawyer will represent you and advocate for you if a government entity files a complaint, or starts an investigation, for alleged violations of any business laws.
Creating a risk management plan
Every business should have a risk management plan. Business lawyers can advise on potential compliance issues. They can help you create a risk management plan that monitors and minimizes risk for your employees and workplace.
Acquisitions and mergers
If you’re negotiating the sale of your company or acquiring another business or its assets, you’ll need a business law lawyer. They will advise you through the process and ensure any agreements comply with business law. In addition, they’ll ensure the agreement aligns with your objectives and provide advice for the drafting, negotiation, and execution of all contracts related to the sale or merger. Mergers and acquisitions are complex and require a business lawyer to complete.
When should I hire a business lawyer?
A preventative approach
Any business founder should hire a business lawyer sooner than later. As the adage goes, an ounce of prevention is worth a pound of cure. Though cliché, it rings true regarding business law. While you will need to hire a lawyer for the issues listed above, preventing those things from happening will save you time, money, and a lot of stress.
Does that mean you need to have a business lawyer on retainer? Not necessarily. Advising with one is a good place to start. Professional legal advice will help you make better decisions and avoid legal trouble in the future.
For example, if you understand anti-discrimination laws or consult with a business lawyer and their business law office before hiring employees. In that case, you’d have a better idea about what you can and cannot ask at a job interview. Someone who isn’t familiar with these laws might inquire if a candidate has children or plans on having them. Even if you never consider that information in the decision-making, that question might imply that your company was discriminatory based on family status.
A few advisory sessions with a knowledgeable business lawyer can help you avoid these situations. It is a small effort at the beginning of starting your business that can save you money and stress down the road.
Reduce future costs
As mentioned, even experienced and well-meaning business owners can run into legal issues. However, investing in business lawyer costs when you first start can help you save immensely if you ever have a lawsuit filed against you.
Those initial consultations will prepare you with information and resources to better handle the lawsuit. It also helps you build a relationship with a business lawyer you can trust, so you can always have someone to turn to when you need them next.
For example, you can send your employee contracts over to your lawyer for a final review. Since you’ve already had the education and previous advice, it will take your attorney less time to quickly review your contract approve it. You’ll prevent headaches and stress later on, and the cost to your business is less because you’ve already done the heavy lifting. Your business lawyer just has to review the work and provide advice.
Have a lawyer who understands your business
When you consult with business lawyers at the inception of your business, they’ll learn about the company and what you do. Then, when you need to hire a business law lawyer, you’ll already have access to one that understands your business and your objectives.
You might not need one for every minor issue that comes up, but when you do need one, you’ll have someone you can trust ready to go. In addition, your lawyer can keep tabs on your business and alert you to any issues early. Having a business lawyer ensures you stay compliant and prepared for what the future might bring.
What tasks can I handle on my own?
For basic business structures, some corporate tasks are relatively straightforward. Many business owners can handle them independently, especially after they’ve done an initial general consult with a business lawyer to review their business structure. Depending on the business owner’s expertise, more experienced founders might not choose to hire a business lawyer for these tasks:
- Selecting and registering a business name
- Selecting and registering a domain name for your website
- Applying for licenses or permits
- Recruiting, interviewing and hiring employees
- Hiring independent contractors and vendors
- Documenting business meetings
- Writing a business plan
If you’re creating partnership agreements, employment agreements, and contractors for customers, it’s a good idea to have those created with, or reviewed by, a business lawyer.
Not every business owner has the same resources, understanding, or time to deal with some of these tasks. You still might consider hiring a general lawyer to assist with the above tasks. At a minimum, you should have an initial consultation session with a business lawyer. A business law lawyer can answer any questions you might have before tackling one of these jobs yourself.
How much does a business lawyer cost?
Entrepreneurs and small business owners don’t always have a lot of capital. This lack of funds, combined with the perception that corporate lawyers have expensive fees, is a primary reason business owners forgo hiring an attorney. Every business law office could have a slightly different fee structure.
Typical business lawyers fee structure
Most law firms will have a set fee structure that allows businesses to budget and plan accordingly. For example, for straightforward issues, they might forecast how long a problem or project will take to resolve and provide you with a budget based on a set number of hours.
Or, they could offer hybrid fees. Hybrid fees typically combine hourly and contingency fees. Rather than just charging by the hour, which might encourage some lawyers to take longer so they can charge more, a hybrid structure gives you a better idea of what things are going to cost with that particular business law office.
Clear, upfront costs with Goodlawyer
With Goodlawyer, analyzing fees and worrying about high business lawyer costs is not something you have to worry about. Your legal fees are affordable and quoted upfront.
Who will be my lawyer?
Every business lawyer from Goodlawyer is hand-picked, interviewed, and vetted. They have been through thorough background checks and interviews to ensure they are a great fit for Canadian business owners to work with. The lawyers must be licensed and have a proven reputation in the industry. In addition, customer reviews are reviewed and monitored to ensure only the best corporation lawyers are on the platform.
In addition, you choose the lawyer. Founders can easily read about the lawyers on the platform and find an attorney that best suits their needs. It’s also possible to work with multiple lawyers of your choosing based on the work you need done. You can hire a team of specialized business lawyers all in one place on Goodlawyer. Once you make your selections, you’ll be served by approachable and knowledgeable business lawyer that can assist you with your specific needs.
You might ask, “is there a business lawyer near me?” There probably is! We can’t always guarantee that a business lawyer in your city will be available, but Goodlawyer partners with lawyers in every major Canadian city and can often match you with a lawyer near you.