Opening a business is the dream of many Canadians. Whether you want to open a simple online store or start a huge enterprise, there are several steps to take before you consider yourself a business owner.
When opening a business, a corporate lawyer is essential, not just because it may be required, but because of what an attorney can do for you. First-time owners will benefit from the expertise of lawyers in Calgary and learn about the process of starting a business, while experienced ones will be assured that all of the complicated processes are in good hands.
With so many benefits in sight, here are just a few reasons why you need an attorney when setting up a new business.
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Incorporated vs Not Incorporated
The first thing your lawyer is going to ask you is whether or not you want your business to be incorporated. This has to do with the structure of your business and how you are going to run it.
It is easier to run a not incorporated business, as it involves less paperwork. You can choose to have a sole proprietorship to work by yourself or a partnership to share the company with someone else. The steps to open a company like this are much simpler, and a person can do it all by themself with little trouble.
A lawyer can help you outline if you should or not have an incorporated company, however.
Although it can add more expenses to your setup bill, incorporating your business can prove to be an advantage, as it comes with tax reductions and more possibilities for investment. It can also save you from future struggles, as an incorporated company distances the owner from the risk of the business. What it means is that your company will be a whole legal entity, while you, as a person, will be another. You and your assets will be protected.
Financing
More often than not, people will start businesses without all of the money required to do so. Not only this is not uncommon, but depending on the kind of business, it is expected. For that reason, banks offer financing options for new businesses.
However, it may be a little more complicated than expected to get the financing option that you need and that you can take. A corporate lawyer will be able to provide valuable insights on how to proceed with financing by analysing your documents and reviewing your business plans.
Not only, but a lawyer will be better equipped to negotiate on your behalf with financial institutions and, thus, get a better deal with the bank for you. You can and should use your attorney’s expertise to benefit you in every way that you can, including monetary issues.
At the very least, your lawyer will be able to explain the terms of your financing for you and make sure you understand what kind of contract you are accepting.
Business Model
Corporate lawyer Calgary has a deep knowledge not only regarding the legal aspects of setting up a business but also about the business itself.
Due to the multitude of clients that a lawyer can have simultaneously, the experience that comes with it is priceless, and a lawyer will be able to point out potential flaws in your business model.
What that means is that your attorney will ask you about how you intend to run your company, and then provide their thoughts and suggestions regarding it. Sometimes there are hidden details that are easy to miss without a plural background such as a lawyer’s, and that can be a game changer. Even when it comes to the legal aspects, your lawyer can help you improve your model and put you on track to have a successful operation once your business is ready to go.
Contracts and Paperwork
There is a lot of paperwork involved in setting up a business, and it does not matter if you are opening your first company or if it is a brand-new project: chances are that you will get overwhelmed at some point.
Passing this responsibility over to another person is the number one reason why people should hire lawyers to assist them in such matters. Especially if you are the only one in charge of your business, or if you are for example selling handmade goods, you should be focusing your energy on what you can and must do for your business. Instead of stressing yourself out with bureaucracy, you can let your lawyer do their job while you do yours.
A corporate lawyer, being familiarised with paperwork, will set up everything you need for your company, including all of the contracts that you must sign before you are ready to open.
Compliance
One of the biggest concerns of people who are starting a new business is whether or not they are doing everything right and not breaking any laws. Having this kind of mindset may seem paranoic for some, but it is a noble feature to have.
A company can affect not only the life of the owner but of those around them such as family members and employees. As the head of the company, it is your duty to assure that every law and regulation is being followed in the letter.
It can be hard to guarantee compliance, however, when you are already too busy setting up the company, and this is why you should hire a lawyer. They can take this burden from your hands and work with you to keep you in accordance with the law at all times. By keeping track of every step towards opening your business, your attorney can warn you about possible infractions and guide you through the regulations.
Having a long-term partnership with your lawyer
After finding a lawyer to work with, hiring them and then going through all of the processes of starting a new business, you can finally take a breath and focus on running your company. Ahead of you, there are not only the fruits of your hard work but also the hardship that may come with the market.
What is little said in the business and legal worlds is that the relationship you established with your lawyer does not need to end just now. By finding a person or team who you trust and with whom you can work, the possibility for you to maintain a professional relationship afterward arises.
Every business must have a legal team or lawyer, and they may as well be the same ones that helped you start your business. Even if, in the future, you face legal issues that are not among the practices offered by your corporate lawyer, you can still count on them to recommend you to other professionals.
Do not miss out on the opportunity to have this partnership with your lawyer, as it may prove valuable in the future. On the same note, if you are planning to start a new business, there are no downsides to hiring a lawyer to help you get everything done.
Autor: Dimic Law Firm
