From the moment a business owner sets up an LLC or other legal entity to structure the company, he or she is acutely aware of the potential for lawsuits. Whether or not the risk for legal troubles is high, the possibility is in the back of most business owners’ minds.
This worry exists for good reason. Studies show that litigation creates significant disruption and financial strain on small businesses. In addition to the expense it adds to a balance sheet, a lawsuit will divert a business owner and management’s attention from core competencies, as well as the team’s goals for growth. This disruption can derail growth for an extended period of time, if not handled correctly.
There are proactive ways a business owner can protect against lawsuits and keep risk low. By working with a skilled business law attorney long before legal issues arise, you can put in place policies and legal structures that will mitigate the risk of litigation.
A good business lawyer can evaluate a company’s model, operations, structure and areas of growth to determine where the greatest risks lie. From there, he or she can develop strategies for shoring up those weak areas with practical strategies and solutions.
You need a business attorney who invests time in knowing your business inside and out. With this kind of partnership, you can be assured that if the possibility of litigation arises, you already have representation in place, ready to negotiate the issue and settle outside of court – or is prepared to take the matter to court, if litigation is unavoidable.
Chenoweth Law Group is trusted by companies throughout the northwest. The firm partners with business of all industries to provide proactive strategies for protecting against the risk of litigation.