(Get Into) Formation
Starting a business is hard work. The easy part is having the idea, something that you are excited about, a way to change your job, a way to change your circumstances in life, to be your own boss. What you may not realize is that there are a LOT of steps to go in achieving your goals of success when starting a new business. One of the first decisions you have to make is what form you want that business to take. Whether sole proprietorship, LLC (or PLLC, for my attorneys, therapists, and accountants out there), or corporations, you have to weigh what your goals are, and what the most efficient way of getting yourself there is. It can be confusing going over the pros and cons of each one, and determining who is going to be in charge.
You may be tempted to do these steps yourself, but let me give you another perspective. When you invest in an attorney to help you set up your business, you are ensuring that you can state what you want done, and someone makes it happen for you. You may be a baker that makes the world’s best cupcakes, but the idea of filing paperwork makes you want to give up. You are relieving stress on yourself so that you can continue to excel at the thing you love, and that is worth a lot. You may be starting on a shoestring budget, and don’t have the resources to have an attorney shape what you need. An option for you could be to pay for an hour of time with an attorney, rather than having them set up your business, and to ask all the questions you have regarding your business formation. This reduces your costs, but ensures that you aren’t making critical mistakes at a crucial time in your business.
Working with an attorney can also protect important relationships. If you and your best friend have an amazing concept for a salon grooming dogs, but one of you wants to make as much money as possible to achieve personal goals, and the other wants to reinvest all the profits into the salon, you’re going to have a blow out over your methods (I know you’re rolling your eyes at that dad joke; it’s fine). Setting expectations early and consulting with an attorney makes sure that you can maintain the relationship, both personal and professional, with as few roadblocks as possible.
