Reasons You Need A MD Business Attorney
As a small business owner, your success is just as tied to the legal side of your industry as it is to the financial and market-oriented elements. Even minor legal oversights can have financial ramifications for your company and may even put it at significant risk if litigation occurs. By retaining a dedicated small business lawyer, you can avoid these issues.
There are several legal pitfalls that could await your new company. The legal structure you choose for your business will have a direct effect on how taxes are structured, the liability of the owners and other essential elements of the company. In the event of a dispute, having an understanding of the legalities of the matter and possible avenues for recourse is critical. Here are a few ways that working with a small business attorney can help you avoid potential legal problems:
Legal counsel can guide you on how to best protect your business and its owners as you operate. This can include the best way to form your business, what kind of contracts you should enter into with vendors or clients, and how to deal with taxes. A lawyer will understand the local laws that can affect your rights, and help you ensure you don’t miss any important requirements.
A small business attorney can be an invaluable partner as you form your company and begin to hire employees. Making sure that you comply with various legal requirements , from labor laws to medical benefits, is critical to avoid costly fines and penalties. Having a lawyer on your side to keep you on track with all your obligations is vital.
Depending on the demand for your business, employees can make up the backbone of your organization. As a company owner, it is your role to ensure they’re protected and understand their rights. This includes ensuring that they’re paid fairly, and are protected against discrimination from their colleagues or your company.
Guidance from a lawyer can help with various aspects of patents and trade secrets. For example, if you have information that shouldn’t be shared with others, having the correct non-disclosure agreements in place is essential to prevent leaks. You also need to provide your employees and other individuals with who might have access to certain information the proper legal language that protects you from them sharing your intellectual property.
Every small business has complex operations and unique circumstances. Working with a small business attorney allows you to address your specific risks and operating procedures to avoid falling prey to legal matters that could cause you significant trouble.
What To Look For In A Business Attorney
As you set out to find the right legal partner, there are certain key qualities that a competent small business attorney in Maryland should meet. First and foremost, consider their experience with small businesses, especially in your field or industry. Plus, how long have they been practicing law? You want a professional who has a long history of experience, who can guide you through the complex elements of running a small business including business formation, employment and liability issues, and contract negotiations.
It is also important to find a Maryland business lawyer who specializes in small business needs. While a general practitioner may be able to assist you with the majority of your concerns, it is always best to have someone with specific experience handling the very issues that cause you worry. Make sure to ask probing questions about their history and experience working with small businesses like yours.
Finally, trust your instincts. Are they someone you would enjoy working with on a regular basis? Are they someone you could trust with the vital components of your business? A big part of creating a successful small business is to team up with the right people to help you achieve your goals. While reviewing client testimonials can give you some insight into their work, you can use your first meeting to determine whether or not their approach and personality will be a good fit for you and your needs.
What A MD Business Attorney Can Do For You
A small business attorney can offer your company a variety of services. A primary goal is to ensure that you remain in compliance with the law in terms of your business structure, employees, contracts and finances. However, an attorney well versed in small business law can do far more than simply help you navigate business obligations. You can also turn to a Maryland business attorney for help with legal and contractual disputes and for general advice on strategic issues.
Contract law is a major area of influence over businesses in Maryland. Your company enters into many contracts every day. Some of these contracts are with employees, some with vendors and others with clients. You also need to enter into contractual agreements with construction contractors, suppliers and other parties. Whether you use your own contracts or customized agreements or those provided by the other party, it’s a good idea to have your agreements reviewed by an attorney to make sure they follow Maryland contract law and protect your interests.
Your Maryland business attorney is there to help you with a range of customary employment issues. You will need to periodically set up new positions and create job descriptions for them. An experienced attorney can help you with that process. You’ll also want to ensure that your new employees have the proper forms and information about working for your type of business. Your attorney can help with that, too. In most cases, people who work for you will not be employees but independent contractors. An experienced attorney will help you understand how to implement that relationship properly to avoid IRS penalties.
As it grows, your company will also need to bring on new employees. Your personnel policies must comply with federal, state and local laws and regulations. If you ever have trouble with a current employee or former employee, an attorney can help you deal with the necessary paperwork and procedure. If you ever have an employee claim that you took adverse action against him or her for an unlawful reason, a skilled business attorney can help you manage the situation.
Compliance and regulatory work are an important part of running a business. A substantial portion of the laws and regulations that impact your company comes from the federal government. However, each state also has its own regulations and requirements that businesses must abide by. For example, if you run a construction company, state requirements for licenses, insurance and bonding come into play. An attorney licensed to practice law in Maryland should have the necessary expertise in small business law to ensure your business remains fully compliant.
Once your small business grows to a point at which you hire employees, you may also need to establish a pension plan that includes a retirement plan like a 401(k). That’s another area of regulatory oversight. An experienced small business attorney can help you handle payment details in accordance with employee benefits law.
Your contracts and agreements with vendors and clients are not always could be the source of disputes. You and your business also face the possibility of having a legal dispute with a customer over the quality of a product or service that you provided. If you get forced into a legal dispute in Maryland, you want a skilled attorney who can help you resolve the matter to your advantage. Your attorney can also help you prepare a business plan to minimize any risk of losing money due to contractual disputes.
An Introduction To MD State Business Law
The state of Maryland has its own set of business laws. For example, limited liability companies and corporations in the state must have a registered agent whose legal presence is within the state. If your registered agent is in a different state, you’ll need to have the legal entity registered in Maryland. Furthermore, if the business has a physical location in Maryland, it will need to have a General Business License. You’ll also need a specific business license if your business falls into certain categories – such as pawn brokers – or one that involves special tax considerations – such as a wholesale business.
Your basic business entity formation may also be affected by the state you’re in . For example, if you’re a sole proprietor in Maryland you’ll need a separate business license for each business and you can only operate in the county where the license was issued unless you get a separate license for each additional county. However, if you form a corporation or an LLC in the state, you’ll only need one single license.
Taxes are also a consideration for small businesses in the state. The Maryland income tax ranges from 2% to 5.75%, while the corporate income tax is 8% for both C-corps and S-corps. On top of state taxes, there will be local taxes on income and personal property in some counties (such as Montgomery).
There are also a wide range of state laws covering employee rights, such as a right to paid sick leave, are controlled by the state rather than the Federal government, so you’ll want a local attorney to help you navigate those laws.
How To Select A Business Attorney
There are several practical steps you can take to find the right small business attorney in Maryland. After narrowing down your list of potential candidates, you will want to consider meeting with each candidate for a consultation before making a decision. You also want to know what cost structures you can expect, and make sure they are compatible with your business needs. In short, small business owners should consider the following when choosing an attorney:
Meet Your Candidates in Person. Most lawyers agree that the best way to get to know a potential attorney is to schedule an in-person meeting. Many attorneys offer free initial consultations, so you have no obligation to choose the attorney after your initial meeting. Be prepared for a consultation, and know what you’ll want to talk about.
Ask About Fees. When inquiring about fees with a potential small business attorney, you will want to ask about the attorney’s billing methods and expected fees for the type of services you require. If you have trouble paying the attorney’s fees, you may ask about a payment plan, but do not expect the attorney to take your case pro bono. In Maryland, only a few attorneys will take cases on a pro bono basis.
Find Someone Who Shares Your Business Goals. When getting to know your potential attorney, explain your short- and long-term business goals for you and your company. It is important that you choose an attorney who will support your goals.
Getting The Most Out Of Your Attorney
Even if you’ve found the perfect attorney, the onus is on you to maximize the relationship. Here are three quick tips:
Meet regularly. Establish a schedule to meet with your attorney throughout the year – even if you don’t have any problems to address. In fact, if you need to talk only about a legal problem, it’s probably already too late to minimize the damage—and spending the time at least once a quarter with your attorney can help you avoid those situations altogether.
Talk to your attorney like you talk to your friends. Be transparent and explain your business goals and financial picture—and don’t hesitate to clarify when you don’t fully understand what he or she is telling you.
Be proactive . Good attorneys don’t wait until you have a problem to talk with you; they work proactively to help you avoid problems in the first place. In addition to the quarterly meetings, you should stay in your attorney’s line of sight when you have big plans. For example, before making a donation to a charity, you might want to share your plans with your attorney, just to make sure you’re maximizing the benefits of your planned generosity.
By staying in touch and taking a proactive approach to a solid business legal strategy, you’ll have a much better chance of working with your attorney to achieve your business objectives.
Good legal advice can save you headaches, heartaches, and big expenses further down the line.