5 Different Types of lawyers for small business
Despite being small, the small business employs 47.1% of all US workforces. A small business is distinguished with fewer employees and less annual revenue than a regular-sized business. However, this doesn’t exempt small firms from adhering to state and federal regulations, business laws, tax codes, labor laws, and permits. Like any other business, small businesses must always comply with the law and follow regulations to prevent violations.
This is where the law firm and business attorney come in to help small businesses stay updated and follow required legal regulations.
Why do small businesses need lawyers’ assistance?
A business lawyer plays a crucial role in forming a business, the sale of it, and everything in between. A business lawyer can help protect all parties involved in various business transactions and help to prevent disputes before they start.
Unfortunately, the government isn’t obligated by law to notify about regulation violations related to starting and running a business; hence a lawyer will notify you and guide you through all the legal procedures to prevent violations.
You’d need to be aware of three different forms of regulations
· Federal regulations –Nation-wide regulations apply to all businesses.
· State regulations –Businesses with multiple locations across state lines must remain aware of all laws in place.
· Local regulations –Local regulations applied to businesses.
Find an attorney with a specialization in business law to keep you aware of the regulations mentioned above and related laws to operate your business in a proper legal manner.
5 Types of Lawyers for Business
Business owners often wonder what type of business lawyers are available to them. Most of them confuse business law with general law. For this, you’ll want to meet lawyers with business law experience and assess your legal needs.
General Business Lawyer
As the term suggests, a general business lawyer specializes in legal advice on a wide range of matters. This type of lawyer has experience dealing with generic law required for a firm; hence you should contact them in circumstances that don’t deal with particular circumstances.
As a firm, you’d need assistance with a wide range of activities, including contracts, business formations, intellectual property (trademark, copyright, patent), taxes, real property (real estate) transactions, business transfer and succession, labor and employment law, environmental law, franchise law, water law, banking, etc. A business lawyer is someone who can guide you through all of these aspects by either taking on the job or finding relevant lawyers.
When considering getting legal help, you’d need to ask yourself what sort of scenarios could affect your business. If you may need assistance with employment, then your best bet is to get an employment lawyer. Still, if you aren’t aware of employment law, you can get assistance from a general business lawyer to find relevant solutions.
Employment and Labor Lawyer
Employment and labor lawyer specializes in law dealing with acquiring and removing employees, complying with state and federal laws regarding hiring lawyers, preparing to hire and firing contracts, preventing workplace discrimination, protecting labor rights, and safeguarding your legal entity and personal assets from potential lawsuits the future.
You’d only need an employment lawyer when your business has employees.
Employment law is one area that keeps changing; hence it’s your employment lawyer’s job to keep up with the changes and keep you in the loop regarding amendments in law.
Merger and Acquisitions Lawyer
Merger and Acquisition or M&A law deals with merging and acquiring or selling businesses. A business owner would need legal advice from an M&A lawyer when they decided to acquire another business along with its assets and liabilities.
The lawyer will clear out the entire legal requirement for acquiring or selling a business, evaluate assets and liabilities, contracts and agreements related to acquiring and selling the business, and negotiations related to dealing with the other party.
If you have merged another business before, you’d know that it’s a complicated process. Merging with another business entity and absorbing a company is quite different. You’d need to be aware of business law, regulations, and Intellectual property (IP) law (if M&A involves IP law).
Tax Lawyer
Law related to business taxation is essential for all kinds of businesses. The bigger your business grows, the more you’d need to know about different forms of taxation.
While your business accounts are audited by a Certified Public Accountant (CPA), anything related to tax regulations will be dealt with by a tax lawyer. CPA will help keep books updated, while tax lawyers will prevent legal actions related to taxes against your business.
The tax lawyer will also oversee CPA’s activities and prevent your business from IRS’s legal actions. Most tax disputes arise in the form of an audit of one or several past tax returns. If the IRS notifies you of an audit, you should hire a tax attorney immediately.
Intellectual Property Lawyer
Intellectual Property Law or IP Law is related to protecting, procuring, and selling trademarks and patents. IP Lawyers specialize in legal matters concerning copyrights, trademarks, and patents, including resolving conflicts related to trademark and copyrights.
Business owners wouldn’t know when they’re infringing on someone else’s copyright or trademark, such as logo, quotes, multimedia, contents, product similarities, etc. This is where IP lawyer comes into play to prevent business owners from making mistakes. In some cases, businesses already made mistakes will hire IP lawyers to resolve the legal issues through settlements or court cases.
If you use terms like “Just Do It” as a slogan for your business, you’d likely receive copyright infringements notice from Nike. It’s time you hire an IP lawyer to protect you from a possible financial loss or closure.
As a small business, what sorts of regulations should you be aware of?
The penalty for violating local, state, or federal regulations can prove to be an expensive affair. When not dealt with properly, you could even lose your business or end up paying a hefty fine.
These are the lists of regulations you should be aware of.
Tax Code Business Regulation
Business must stay aware of state and federal taxes, tax and audit report violations, tax returns, and tax policies changes as your business grow. Along with these, you’d also need to know about employment tax, social security, and Medicare, etc.
Employment/Labor Laws
A business will need legal assistance when they decide to hire employees. From drafting a contract to firing employees, you’d need to about legal steps so you can prevent employment violations and lawsuits from your employees in the future.
Antitrust Regulations
Antitrust regulation prevents business owners from fixing prices with competitors or taking illicit steps toward lower product prices through price discrimination.
Advertising
False advertising can cost your business a lot in violation of information, fake claims, and lying to customers. Before landing on the hot water, it’s better to learn about laws related to advertising on paper, social media, emails, etc.
Environmental Regulations
Products that concern the environment, including pollution, emissions, and environmental hazards, need to follows environmental regulations.
Privacy
Businesses shouldn’t violate privacy rights, including revealing or compromising employee’s privacy (Social security, address, name, bank details, etc.)
Keeping yourself aware and prepared will help you face legal issues. You should understand the benefits and limitations of each type of lawyer so you can hire the right person in the right situations.
Check this infographic for more information.
Get in touch with Mark Gray Law PLC., the best business law firm in Ankeny. We provide valuable business tips and legal assistance to small business owners.
