With four in every ten businesses failing within 5 years, as a pre-pandemic average, it is plain to see that running a business can be a dangerous thing. However, with the right team, the right uncompromising attitude, and the right understanding of your business’ standing and responsibilities, you give yourself the best possible chance at success. For many, the first step in this should be the retention of a lawyer. But why? Aren’t lawyers costly, and only useful for litigation? Here is why a lawyer could be the saving grace of your new business.
If your business is on the younger side, you may find it difficult raising capital, or understanding the more complex financial responsibilities involved in the running of a company. A lawyer can be invaluable in helping you navigate these processes, ensuring your record-keeping and financial understanding keep you on the right side of the law at all times – and that you enter into any potential business loan applications and investment bids with the highest possible chance of success.
Avoiding Costly Errors
Aside from the smooth operation of your finances, a lawyer can also save you time and money with regard to legal challenges. They will pore over any existing legal agreements you have, including terms of service, employee and customer contracts, helping you to close any loopholes which could land you a bill or legal action. And in the unfortunate event that someone takes legal action against you, having a lawyer on retainer that already understands your business and its needs will help you get on top of the case quicker than ever.
A major way in which a lawyer can help you is in navigating tax issues regarding HMRC. A deep understanding of tax law can help you avoid unexpected tax bills, or the dreaded audit, as your lawyer’s advice can allow you streamline and consolidate any tax-related accounting.
A lawyer is indispensable for drawing up new contracts for your business. Having a legal expert draft legally-binding documents will proof you against future legal action, and enable you to get the most out of your employees and customer base. Lawyers can also help you with employment law, and with understanding your legal obligations to your team.
Your lawyer will not necessarily be a singular font of knowledge for every aspect of your business; ultimately, they are there to help you understand the legal side of your company – the things you can and can’t do, and the things you should and shouldn’t. However, what lawyers can also do is recommend specialists to you. In the event you come across a complicated or niche legal issue you need resolving or looking at, your lawyer can recommend you to the best possible person for that job.