5 Reasons A Lawyer Can Help Start Your Business

5 Reasons A Lawyer Can Help Start Your Business

Deciding to start your business is a pivotal and thrilling moment for any entrepreneur. It marks the beginning of a new chapter filled with opportunities and challenges. During this crucial phase, the support of a lawyer can be invaluable. A good lawyer can provide guidance and expertise to lay a strong legal foundation for your venture.

Start Your Business with Confidence: Legal Expertise Matters

1. Choosing the Right Business Structure

When you decide to start your business, one of the initial and most crucial decisions involves selecting the appropriate legal structure. Options include sole proprietorships, partnerships, limited liability companies (LLCs), and corporations, each with unique advantages and challenges. A lawyer will guide you through this process, helping you understand the pros and cons of each option, ensuring the best fit for your business’s long-term success.

2. Protecting Your Intellectual Property

Safeguarding your innovation is vital as you start your own business. If your venture involves a unique product or service, it’s essential to protect it from unauthorized use or theft. A lawyer will help you explore protection strategies, such as trademarks, copyrights, and patents, and assist in enforcing your rights against unauthorized use.

3. Drafting Solid Contracts and Agreements

For any business, entering into various contracts with stakeholders is inevitable. Generic templates may not adequately protect your interests. An attorney will ensure you understand the implications of these agreements and the importance of specific terms, safeguarding your business interests.

4. Handling Legal Issues and Disputes

Despite all precautions, legal disputes can arise. A knowledgeable lawyer will help manage these issues and seek resolutions that benefit your business. They are also crucial for representing you in court, either for defending against lawsuits or enforcing your rights.

5. Ensuring Compliance with Government Regulations

Every business must comply with various regulations, including employment laws, tax laws, health, and safety regulations. A lawyer can clarify your legal obligations, guide you in complying efficiently, and ensure that your business meets all regulatory standards to avoid fines, penalties, or legal actions.

As you embark on starting your business, our firm is dedicated to providing the necessary legal support and guidance to establish a strong foundation for your venture. Contact Brenden Kelley Law at 216-644-3359 for a consultation and set your business on the right path.

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Explore our other Blog Posts for Business Owners: 5 Important contracts to know when starting a Small Business and Choosing the Best Corporation in Ohio: S-Corp or C-Corp?

Additional Resource: The Small Business Administration’s page Calculate Your Startup Costs, helps entrepreneurs estimate the costs of starting their business, which is crucial for securing funding and setting financial goals. It includes guidance on conducting a break-even analysis and other financial planning tools.

The Best Entity and Tax Choices for Dental Practices

The Best Entity and Tax Choices for Dental Practices

One of the most crucial decisions when opening a dental practice is choosing the right entity and tax structure. What may seem like a simple task at first can quickly become overwhelming. There are many nuances and considerations that make it nearly impossible to select the default best choice. In this blog post, I have highlighted some practical options for small dental practices with one or two owners.

Avoid the Liability of Sole Proprietorships and General or Limited Partnerships

One of the easiest entities a person can form is a sole proprietorship. However, it offers zero protection from personal liability. That means if the business fails you’re personally on the hook. General and limited partnerships also have zero protection from personal liability.

Limited Liability Companies and Corporations afford the most protections.

For personal liability protection, it is best to form either a limited liability company (LLC) or a corporation. Both entities shield the owner(s) from the acts or omissions of the entity’s employees and other business operation liabilities. LLCs and corporations are both good choices when it comes to personal liability protection. However, they have different corporate formalities that must be followed. Corporations have more formalities, such as requirements to maintain minutes and have certain meetings, while LLCs do not have such obligations.

Understand the Tax Implications

When it comes to taxation, the entities have different requirements and implications. A partnership is a pass-through entity, which means all income, losses, and credits flow through to the partners’ individual income tax returns. However, partnerships must file a tax return even though the entity itself is not subject to tax. A C corporation is subject to double taxation, which means the corporation is taxed on all the business earnings, and those earnings are taxed again when paid out as dividends. An S corporation is subject to only one level of tax and can reduce the employment tax liability of the owners by managing their reasonable compensation in relation to the S corporation’s net-profit distributions.

For LLCs and corporations, the entities can be taxed as either a C corporation or an S corporation. However, if a dentist chooses a corporation as their entity, they must understand the corporation’s limitations in terms of tax flexibility from initial formation through to the sale of the dental practice.

Choose What Works Best for You

While there is no right or wrong answer when it comes to choosing the right entity and tax structure for your dental practice, there are clear pros and cons to each. Your choice will depend on various factors, including the number of owners, the number of dentists, business objectives, personal liability protection, and tax savings.

Consulting with an attorney to evaluate the options is a crucial step in making the best decision for you and your practice. Call our firm today at 216-644-3359 so that we can help you open your dental practice and protect your interests.

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Explore Our Blog Posts for Dentists: Unlocking Legal Secrets: The Roadmap to Successful Dental Practice Acquisition and Consumer Law Issues for Dentists: What You Need to Know.

Additional Resource: For a comprehensive understanding of business structures, visit the Small Business Administration’s guide on choosing the right structure for your dental practice.