Hiring a lawyer is an action most people avoid taking if they can help it.
It seems to connote the fact that something is wrong, or that there’s a threat to the integrity of ourselves or our businesses.
However, hiring a lawyer before the going gets tough is actually a smart business move that any investor or leader can make.
It can be tricky to know when the right time is to hire a corporate lawyer. In this article we will explore certain scenarios in which hiring a corporate lawyer is in your best interests as a company leader.
During the inception of a new company
When you are starting up a new enterprise, it is crucial to hire a corporate lawyer.
Not only are the contractual obligations of starting a new business both complicated and time consuming, but if you misunderstand them, you could be bitten by this down the line.
Hiring a corporate lawyer through a lawyer referral service or privately can save your skin in this area.
In addition, a new company comes with new regulations.
Particularly if you are branching out into a new industry, which will have its own set of regulatory requirements, having a corporate lawyer assist you in this process will only serve to benefit your company down the line.
During lay-offs or liquidation
During the coronavirus crisis, many businesses went into liquidation due to insufficient income from their relevant industry.
It has truly been a catastrophic year in economic terms, meaning that your business has likely taken a hit in some way or other.
If you are preparing to let go employees, particularly a large number of employees — or indeed you are preparing to dissolve your business altogether — it’s time to contact a corporate lawyer.
A lawyer can help process the right severance packages for employees; they can help human resources to go about the release in the right way; and they can advise on any contractual issues you might have.
In the instance of dissolution, your corporate lawyer can aid the process and make the whole thing go more smoothly.
If there is a claim against your company
Lastly, it is of course necessary to obtain the services of a corporate lawyer if your company is facing a claim.
Even if you feel the complainant has no grounds against you, it’s never a good idea to ignore or downplay a legal dispute against the business.
Instead, you should consult the expertise of a lawyer in order to ensure you are responding and cooperating in the right way.
Should the claim be disputed in court, you will need a reputable corporate lawyer to represent your company, maintaining its integrity and giving you the best possible outcome from the situation.
Final thoughts
If you are on the fence about whether to consult a corporate lawyer as a business owner, use the details outlined in this article to help your decision-making.
As a rule, if you think you may need a corporate lawyer, the chances are your instinct is correct!