Business contracts are extremely important for any business. They provide clarity in a lot of areas that can cause problems down the road if they aren’t addressed upfront. They help avoid situations where an employee leaves the company and says they still own a portion of the business.
They provide protection so that you don’t have to worry about someone taking your product idea and running with it on their own. Business contracts also help protect you in ways that you don’t expect as well.
You may not be able to ask your clients to sign a non-compete agreement, but by keeping specific clauses in place, you may actually be able to keep them from taking possible avenues of attack that you aren’t thinking about.
When Should You Hire A Lawyer to Draft Your Contract?
Hiring a business lawyer to draft your contract can seem like an expensive, unnecessary luxury. In reality, you might be paying thousands of dollars to hire an attorney that isn’t needed. To make matters worse, if you don’t sign a proper contract or have it properly drafted, you can get sued for millions of dollars!
Almost every business transaction involves a contract of some sort. So when you decide to create one, you need a business lawyer to help draft it.
What Should You Look for In a Lawyer to Draft Your Business Contract?
Although every business contract is different, there are elements that remain the same across businesses and industries. You should focus on three main things to keep in mind when evaluating whether a lawyer is right for drafting your business contract: a culture of trust, experience, and transparency.
When starting a new business, one of the first things that you’ll need to do is write up an agreement. If you fall under a corporate entity, such as a Sole Proprietorship or Partnership, then you don’t need to worry about this. However, if you are in the process of forming your own LLC or creating some other type of legal structure, you may need to get a lawyer to draft some contractual documents.
It’s important to choose a lawyer who is experienced in drafting and revising legal documents and in the area of law that you need most. The last thing you want is to enter into binding legal documents which could put your business at risk without having all of the answers to your questions satisfied.
How to structure a good contract for your business.
One of the most important aspects of running a business is having a good contract. It sets out how two parties will conduct their relationship, and it protects both of you. There are lots of online resources that provide templates for agreements, but these are often structured purely as legal documents and aren’t always easy to understand.
Make sure you’re using business contracts when you need them. They help you and your partner agree on how you’ll do business, and they protect both of you. If you have questions, check online resources or talk with a lawyer, but remember that the most important contracts are the ones that you think up by yourselves.