Law Aspects for Startups to Consider: Discussion by Commercial Attorney Oakland Experts

Small startup businesses need to plan for bumps in the road ahead and should seriously consider using an established small business attorney. Whether you’re a ragtag Bay Area startup that’s struggling with cash flow and still iterating/restructuring your business model or you’re an experienced entrepreneur with a battle-tested team and a validated set of business assumptions, be aware of the following legal issues that might arise:

• Not establishing the right business structure. Startups often choose incorrectly when reporting their status on business forms. This usually leads to higher taxes and more liabilities. A startup should generally file as an LLC or an S-corporation, but the founders should always contact an LLC attorney for specific advice.

• Not making clear-cut deals with co-founders. Always use clear language and set fair expectations when writing contracts, determining roles, and allocating stocks. Ambiguity between founders and co-founders can cause tremendous legal issues later.

• Not hiring experienced legal counsel. Startups often try to cut corners by hiring inexperienced legal counsel, such as friends or family. A qualified small business attorney can help you handle tax laws, franchise laws, and intellectual property laws while providing other necessary legal expertise.

• Lacking important employment documents. Startups don’t always have the appropriate disclosures and forms they need to supply for their employees, vendors, and contractors. A good document package should include an employee handbook, tax filing forms, benefit forms, and employment offer contracts.

Business Attorney Castro Valley Law Firm Knows Small Business Law

Be prepared to take on any legal or tax issues you may have now or in the future by consulting with small business or commercial attorneys. Call our experienced legal team at 510-881-8700 to help your Bay Area business get established and ready to compete and win.