With a full-service Solicitor team in place, Pihl Law Corporation is well equipped to assist startups and small business owners with their legal needs.
1. Seek your advisors early on.
Before your business is off and running, take the time to consult with your advisors to ensure you have the right corporate structure. Often, spending time and money on an initial consult with your advisors can save more money down the line. Lawyers and accountants can work together to structure your business entity or entities in the most tax-efficient way.
2. Continue to use your advisors.
Often, after the initial corporate structuring work has been completed, clients don’t take the time to revisit their strategies. We all know that life is fraught with change, not only in business, but in our families as well, and with each change, it is worthwhile to consult with your advisors to ensure that the corporate structuring and strategizing that you’ve undertaken still continues to serve your business and family needs.
3. Plan for growth.
Be aware of how your company may grow, and ensure you have consulted your lawyer prior to entering into any agreements during this time. For example, prior to hiring staff, you may want to consider implementing employment contracts, and prior to signing a lease agreement have your lawyer review the terms to help clarify your obligations.
Working with your lawyer to maintain your corporate records continues to be important if financing is required, whether to expand your business, purchase a commercial property, or renovate your current space.
4. Prepare for Sale.
There may be a point when you are looking to sell all or a part of your business. However even before that sale agreement is drafted, there may be an opportunity for you and your advisors to contemplate the need for any pre-transaction steps. By involving your advisors early, you can plan for the most tax-effective sale of your business.
5. Plan for the unexpected.
Most entrepreneurs are focused on growing their business and often neglect planning for injury, incapacity or death. Business owners without an estate plan run the risk of undermining their business and endangering the financial well-being of loved ones.
Every entrepreneur needs a plan that enables their business to continue operating if they are not able to or allows the right person to manage their business interests if they aren’t able to. The traditional estate planning tools include a will and a power of attorney. However, business owners should also consider additional planning considerations.
These could include:
- a buy-sell agreement
- proper insurance coverage
- dual wills
- trust planning
- tax planning
- business succession planning
6. Divorce or Separation Considerations.
Business owners who are married or cohabitating should incorporate a domestic agreement that governs what will happen to the business in the event the relationship breaks down.