The Importance of Having a Business Lawyer for Your Startup
Today’s startups face a narrow window of opportunity for success, so a detailed legal business structure is vital from the moment that a product or solution idea germinates in the mind of an entrepreneur. All legally savvy startup owners should contact a business lawyer in the beginning stages of their operations. This is particularly true for those operating in the technology and communications space where privacy, IP, and regulatory compliance needs go far beyond the basics.
Many of the startups in this sector are looking to position themselves for funding and possible acquisition. This also brings additional considerations in the way the business is structured and run in terms of legal framework, contracts, and state/federal reporting.
Not every startup looking to be acquired will fare as well as those profiled in the recent Inc. Magazine article on their biggest and most fascinating acquisitions of late 2018. Regardless of splash or scope, every startup must have its legal house in order to be attractive to any buyer.
Product rollout and other issues surrounding what entrepreneurs see as the core aspects of getting the business rolling must develop simultaneously with the structure of the business. This will most certainly encompass regulatory compliance, IP protection, contract development that minimizes risks (customers, employees, suppliers, users, and the general public) as well as partner/business relationships.
All of these factors and more affect stable business footing out of the gate as well as growth trajectory and any plans for funding or acquisition. Having the right legal team is crucial at every stage of this process where the discovery for funding and IPO status requires a business lawyer with the expertise in the sector in which you operate.
Experienced and skilled business lawyers with a proven track record must also be involved from the inception of the idea for the startup. This enables them to help consult, plan, and implement any legal filings, contracts or other legal documentation that will affect longer term business growth and goals.
Timing is everything for an entrepreneur looking towards success with a startup, and for those in technology and communications sectors. Timing is also critical in terms of legal representation and cannot be an afterthought. This is true whether you are the only person in the business or have partners and employees at the outset. While your goal as an entrepreneur is to innovate at the right time with the right solution, it takes the right skilled business lawyer to ensure that your innovative ideas are protected.
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