You knew starting your own business would be tough, but you were undeterred. You’ve persevered, and now your small business is primed to be a huge success. That is, so long as you’ve made the right choices along the way.
The truth is there is a lot that can go wrong for your small business, and many problems might already be underway due to poor decisions in the past. When the consequences of these mistakes come to fruition, it’s enough to make even the most determined and disciplined business owner lose his or her mind.
Fortunately, if there’s time to identify these mistakes, there’s time to correct them or even avoid them altogether. Here are the top mistakes which lead business owners to lose their minds, and how to fix them:
Failing to Hire a Reputable Law Firm
When business owners need legal help, they need a lawyer on their side. Whether it’s a landlord in La Jolla looking for a San Diego business lawyer or a bricklayer in the Bronx in search of a Big Apple law firm, the situation is better when they already have one. In actuality, working with a reputable business lawyer on a regular basis is just as important as working with an accountant and vendors for your business. Having a business lawyer on retainer ensures you can spot legal issues before they arrive and grow into something you don’t want to have to deal with.
Failing to Have a Well-Thought Out Business Plan
Any small business needs a well-thought-out business plan and that’s not just when you’re starting out. You need a detailed business plan at the beginning of every fiscal year that you are in business. There are plenty of resources online that can help you write up a business plan that will ensure your business is a success and meets your goals from one year to the next.
Failing to Address All Employment Issues
One of the biggest legal mistakes you can make as a small business owner is the failure to address any and all employment issues you might have. From making sure to hire the right employee for the job to ensuring they and your business comply with state and federal laws, not following the rules can land your business in a heap of trouble. It’s important to note that a bad hire can have very serious repercussions for a small business. Always make sure all of your (and their) paperwork is in order–that all the I’s are dotted, and the T’s are crossed as well.
Failing to Avoid Costly Litigation
While litigation might seem to be the best answer, sometimes costly litigation is the worst step you can take in a small business. In reality, filing a litigation suit should be your last resort. It’s not only expensive but a drain on not only your time but the time of your employees as well. This is time better spent drawing customers into your business, instead. If you have a reputable lawyer on retainer, they can advise you as to whether litigation is the best choice or if another avenue would serve your business better. This isn’t to say that litigation is never the best choice. You just need to think about it carefully and speak to your lawyer before moving forward.
Failing to Consider Other Things
While taking care of legal issues and avoiding these mistakes for your business are important, it’s also important to focus on day-to-day operations as well. If you spend all of your time concentrating on the legal issues that could affect your business, you won’t have the time to run it and make it the success it needs to be.
These are just a few of the top legal mistakes you should avoid when running your small business. Remember, legal issues are important, but day-to-day operations are important as well.