Things to avoid when hiring a lawyer
Any business that needs a good lawyer, so it is essential to get the best advice as per your budget. Making a mistake in this matter can result in wasted time and money, reworking contracts and renegotiating deals. To make this process easier, the compartments of the most common mistakes startups make as well as tips to avoid them:
1. Hire a lawyer too early
Some companies hire a lawyer before even knowing what they want or need from him. To know when to start with this hiring you must have at least: define what type of company you choose, rent or buy a local, process a license, register your brand, deduct taxes and make hiring employees or outsourcing services. You could get the first advice from interns in law schools; doing so would help you save money.
2. Hire a member of your family
You probably want to hire an old colleague, friend or relative, but you should consider hiring a specialist. Choose someone expert in your area so that you know the law that concerns you perfectly, otherwise there could be several errors that will affect your company.
To avoid any problems of this type, talk to entrepreneurs and experts in your area asking for recommendations and references. It is advisable that you interview several lawyers and ask them questions on various topics, from how to proceed with problems with customers and employees to claims for identity theft or improper use of trademarks.
3. Believing Big is Better
Large firms can be very appealing to novice entrepreneurs, but you could end up paying high fees for the firm’s less skilled staff as the best lawyers generally work for large companies. That’s why it’s best to look for small firms that offer value, personalized service and expertise. Bet on large firms when your business grows or has some serious problem, such as a lawsuit.
4. Do not discuss rates
You may find it unimaginable to negotiate in a field like the laws, but remember: you are hiring a lawyer in the same way you would hire a consultant or accountant. There are many different arrangements for paying for these services, including monthly flat rates, hourly rates or offering company shares. It defines well the method of payment from the beginning, as well as the time of consultation and the charges for hours or extra services.
5. Seeing a lawyer only as a lawyer
One way to pay a lawyer could be by offering him a stake in your company. If so, you should keep in mind that your lawyer would become your business partner and that you should treat it as such. In addition, before accepting this proposal note that the person not only has experience but also valuable contacts that could share and skills for the growth of the company.
Even if you choose a more traditional model (direct payment to the lawyer or the firm), you should consider that in the early stages of the business it can become a valuable advisor. It is therefore important that you make a good decision, observing your resume but also the chemistry with you in order to ensure a good relationship.