We are Here to Talk A small business launch should always start on a solid legal foundation. A lawyer for business startup helps entrepreneurs avoid many of the common problems that plague new enterprises, saving them time and money. A qualified startup attorney can help ensure that you have a solid operating agreement, partnership setup, licenses and permits, intellectual property protection, and more. This way, you can focus on your business with the confidence that you have the right foundation to keep your doors open for the long run.
At The Fried Firm, we provide cost-effective legal and business counsel to startups and established businesses. We work hard to find the most creative and unique strategies for our startup clients so they can make legally sound decisions from the get-go.
Startup Lawyer Near Me
The Fried Firm is located in the heart of Brooklyn’s longtime favorite neighborhood for creators, at 231 Front St., Suite 216, Brooklyn 11201. Our DUMBO address is directly adjacent to the Manhattan Bridge Overpass and located off of the York Street F subway stop. We are close to landmarks like Brooklyn Bridge Park, Jane’s Carousel, and Pebble Beach. We are also accessible by NYC’s East River Ferry at the DUMBO Stop.
What Kind of Lawyer Do I Need To Start a Business?
A business startup lawyer specializes in general corporate law, and attuned to the unique needs of first-time business owners. We know that new businesses often face challenges that cross over into multiple areas of law and policy, like city regulations, corporate structure decisions, intellectual property protection, partnership agreements, seed funding, and many more. Not every attorney can identify potential concerns and answer all the questions you might have about starting a new business. This is why you need to hire a firm with an established reputation in the market whose attorneys are well-versed in the law and happy to give you personalized attention.
What Does a Business Lawyer Do?
A business lawyer can help navigate the complex startup landscape. From establishing the optimal corporate structure to securing necessary licenses and registrations, a corporate attorney will look for ways to insulate your equity from the risk of a new business. For example, while many startups find that an S-Corp or sole proprietorship fits their needs, some joint owners may opt for a limited partnership depending on their goals. A business lawyer will help you understand what structure works best for you and draft legally sound documents to ensure compliance.
For example, let’s say you wish to open a restaurant in NYC. A lawyer for business startup will start by discussing entity choices for restaurants, potential avenues for investments and key terms, branding strategies, issues pertaining to real estate and liquor licenses, as well as labor and employment considerations. More importantly, they can anticipate problems and provide tips to address and avoid pitfalls.
How Can the Business Startup Lawyers At The Fried Firm Help Me?
A lawyer for startups can provide holistic advice on multiple areas, like regulation, licensing, liability, and governance agreements. They can help set you up for success from the inception of your entity so it may have the best chance to succeed. At The Fried Firm, we are experienced in all aspects of corporate law and strategy, including the following:
Entity Formation
Choosing the right business structure is vital for your enterprise’s financial health. Your entity structure will impact your tax obligations, deductions, and other liabilities. A corporate attorney understands the nuances of entity structures and can help structure your business in a way that meets your needs, protects you from unwanted consequences, and provides room for future growth. We can draft and file relevant pre-incorporation paperwork as well as assist you with the entity formation process.
Business Agreements
Business contracts provide a legal framework to safeguard your startup, its assets, and its relationships. They outline the rights, obligations, and expectations of all parties involved, including the founders, investors, and employees. We have handled several business agreements (including the contract negotiation process) and can help you draft all types of business agreements, such as investment agreements, vendor agreements, purchase orders, service agreements, data protection agreements, and anything else you might need.
Regulatory Compliance
Opening a business in New York requires adherence to federal, state, and local laws and regulations. It is difficult to stay abreast with every possible compliance required for your business, which is why it might be in your best interests to hire a knowledgeable attorney who can navigate regulations and avoid unwanted consequences, like forced business closure or hefty fines.
Intellectual Property Protection
Intellectual property protection can establish your brand and protect your creative vision from copycats, dilution, and misuse.
At The Fried Firm, we routinely work with creative professionals. We welcome the challenge of protecting innovative products and services conceptualized by our diverse and passionate clients. Our breadth of experience in intellectual property protection can help ensure your startup is protected from predatory and/or unethical business practices.
Raising Capital
A lawyer for business startup understands that seed funding (and subsequent investments) can make all the difference in turning an idea into a successful business venture. Our lawyers can help attract legitimate funding opportunities so you are able to raise capital without worrying about roadblocks.
General Corporate Queries
Our corporate law firm is available for ongoing legal guidance on day-to-day matters that businesses may face, particularly during the early stages. Having a business attorney by your side means having someone you can trust for unbiased, professional, and experienced legal advice.
Business Disputes & Litigation
Corporate disputes, especially in the early days, can stall or permanently derail a business. The Fried Firm can help you navigate corporate disputes swiftly and gracefully. Although we strive to resolve issues before they escalate to the courtroom, we can litigate disputes in court if push comes to shove.
What You Need to Know Before Starting a Business
The US Bureau of Labor Statistics has some sobering facts about starting a new business. According to a study of US businesses and startups, only 25% of new businesses last a minimum of 15 years. While making it past the first two years may seem like the biggest hurdle, the majority of new businesses fail during the first five to ten years. Some of the main reasons include unsuitable corporate governance structures, lack of long-term business foresight, and cooling risk appetite of founders.
Prior to launch, the right business startup lawyer will guide you thoroughly –they will discuss how to best invest your seed money, help make decisions based on your risk averseness and personal and professional priorities, as well as help you think ahead past year one into year five and beyond. For instance, an experienced attorney will make sure you have concrete co-founder agreements in place covering plans for every potential scenario. While taking such steps may seem unnecessary, they are important for the long-term growth of your enterprise.
Mistakes To Avoid When Starting a Business
Starting a business is a complex endeavor, and mistakes can happen when there is a lack of planning and research, financial mismanagement, operational issues, or even unexpected circumstances. Some of the most common mistakes we see are:
- Lack of clarity among founders regarding business ownership, liabilities, goals, and milestones
- Choosing a name with domain name problems or inherent trademark disputes
- Lack of thorough due diligence on investors
- Failure to comply with securities laws when issuing initial shares to family, friends, and seed investors
- Lack of documentation, such as non-disclosure (NDA)/confidentiality agreements and intellectual property assignment/transfer agreements
- Weak privacy policy and/or data protection measures
- Faulty record-keeping, accounting mistakes, and tax issues
All of these mistakes can scare off investors, cause infighting among the founders, and even land you under state and federal investigation. All of these issues have one more thing in common: they can all be avoided with the right startup lawyer.
Questions To Ask a Lawyer About Starting a Business
Many new business owners know they need help, but don’t yet know what to ask. Here are examples of questions you might want to ask a business attorney during your consultation:
- What business structure is best for me (LLC, S-Corp, C-Corp, etc.)?
- What documents do I need to prepare to file my business?
- What kind of standard contracts will I need to have on hand?
- Do I need to register my trademark?
- In which state should I incorporate my business?
- What will stockholders need to approve?
- Does my company name have any existing trademark issues?
- Is my domain name available?
- What liabilities do I have as a founder? Are they the same for all founders? What about my board of directors, investors, and other employees or officers?
- How will I calculate my tax liability on sales tax?
- How many shares will be reserved under a stock option plan?
- What is qualified small business stock?
- Can I have an unpaid intern help with setting up my business?
- Do I need an NDA for my business?
Why Should I Hire a Business Startup Lawyer at The Fried Firm?
The Fried Firm attorneys are skilled at navigating all sorts of business startup questions you might have. Our business startup lawyers have the background, experience, and skills necessary to provide strategic guidance and personalized advice to each of our clients. Our boutique firm is dedicated to servicing the needs of business owners, creatives, and tech professionals throughout NYC. Our smaller size allows us to focus on the individual needs of each of our clients and provide them with practical, comprehensive, and high-quality legal advice.
Where creative minds come together
Lawyer For Business Startup: FAQs
The following are some frequently asked questions about working with our firm and starting a new business in NYC. For personalized responses and legal advice, contact one of our business startup attorneys.
How Much Does a Startup Lawyer Cost?
Startup business lawyer fees vary depending on the services you need and how long you work with them. You may pay fixed amounts based on the project or pay retainer fees (upfront payment to secure legal services).
Do I Need a Lawyer To Start a SaaS Company?
A tech startup lawyer can help your SaaS company get off the ground, just like any other new business. They will not only save you time, money, and legal headaches, but also help make your business attractive to investors.
Can a Lawyer For a Business Startup Help Create Co-Founder Agreements?
Many businesses involve multiple founders, who may or may not have equal partnership or ownership stakes. A robust co-founder agreement can help anticipate common issues and answer questions like:
- Who makes final decisions in the entity? Are decisions made unanimously, by a majority vote, or by one or more founders?
- How much will each founder put into the entity?
- Are salaries expected? If so, how much? When can those be re-negotiated?
- If one founder leaves, can the others buy back their ownership? For how much?
- Is ownership stake based on active participation in day-to-day business operations?
- What happens if the entity faces a lawsuit?
- What happens if one founder isn’t meeting expectations?
A lawyer for starting a business will take into account the angles involved in a multi-founder business and set up expectations accordingly to ensure proper collaboration.
How Does Seed Funding Work?
Seed funding is a type of equity financing where a startup receives initial investment to help get it off the ground. Typically, seed funding is used to finance the first steps of a company, like market research, team building, and product development. It often comes from angel investors, friends, and family, or early-stage venture capital firms.
Does The Fried Firm Offer Free Consultation?
The Fried Firm offers a complimentary 15-minute consultation with a business lawyer. We do this to answer initial queries and make sure our services are a good fit for what you’re looking for in your legal partner.
What Should I Discuss in the Initial Consultation?
It is a good idea to create a list of questions to ask a business startup attorney before your first call. You might want to discuss your business model, target consumer, entity formation & structure, brand identity, as well as pre-seed and seed funding. You must ensure that your attorney is able to provide clear and concise answers to your questions.
Planning to Launch a Startup? Speak to an Experienced Business Attorney at The Fried Firm
Your new business deserves to be taken seriously. A lawyer for business owners can help you answer complicated questions about your startup that can set you on a path to success. Working with a startup attorney shows that you are committed to your investors, passionate about your practice, and knowledgeable about what’s to come.
At The Fried Firm, you would have access to attorneys who would be committed to your success. Our law firm has been instrumental in helping many small business owners, tech startups, and creatives in NYC flourish and thrive. Contact us today for a complimentary consultation to learn how we can help you as well.
