Growing up, I experienced firsthand the sacrifices that go into making a small business successful. My parents owned a small liquor store in Eaton, Colorado. My dad drove from Cheyenne to Eaton six to seven times a week, but when he took a day off, it meant either paying an employee to cover those hours or having my mom go for the day to cover his shift. Doctor’s appointments and other day-to-day personal responsibilities were never easy to coordinate for my parents. Family vacations were always difficult because it meant increased expenses at the store for employees to work the shifts my dad was not covering. However, I have fond memories of our family spending New Years in the small apartment attached to the store, with wine boxes scattered throughout the apartment’s kitchen. While my parents worked in the store, the kids hung out in the apartment watching movies. There was also significant freedom in being a small business owner, which I am sure is a motivating factor for many who pursue such a path.
As an attorney, one of my top priorities is to see small business clients be successful. There are several professional expenses that come with managing a business, like accountants and bookkeepers, payroll specialists, insurance providers, and retirement consultants. As a result, small business owners often see attorneys as an unnecessary expense at the onset. However, having an attorney assist with the formation of the company and providing legal advice along the way, often minimizes the cost of legal issues when they inevitably arise in the future.
Forming corporations, partnerships, or limited liability companies, among other forms of business structures, all have certain legal requirements under Wyoming Statute that must be adhered to as the business operates in the marketplace. Additionally, the relationship between members, shareholders, owners, et cetera, are all legally defined relationships with legal formalities that must followed. Business owners often seek the advice of accountants or CPAs when dealing with the IRS to ensure that the business is reporting to the IRS properly, including the disclosure of a person or entity’s interest in the business. While accountants and CPAs certainly have a wealth of knowledge and insight into how that reporting must be done and can often provide the best tax saving strategies or structures for your business, accountants and CPAs cannot advise your business on the legal formalities that must also be followed as the business operates.
It is usually less expensive to have an attorney review operating agreements at the formation of the business, rather than use boilerplate operating agreements obtained online that do not contain the level of detail or address the needs for your business. When issues come up, or disputes occur, it is often an unfortunate situation for business owners to try to keep their business afloat while going through expensive litigation due to issues stemming from poorly drafted operating agreements. Similarly, having an attorney in your corner to address employee issues, contracts and other agreements, as well as the ongoing needs of the business to adhere to Wyoming Statute, can substantially reduce liability and the likelihood of unnecessary/expensive litigation.
At S|A|S Legal Group, we pride ourselves in being a reasonable and affordable option for small business clients. We offer free consultations and strive to be responsive to our clients’ needs. We want our small business owners to be comfortable knowing that they have an attorney in their corner to assist, when necessary, rather than needing to find one, with a high trial retainer or flat fee, when a crisis or litigation arises. To put it simply, emergencies cost more, especially in the legal world.
For that reason, we would be happy to consult with you and your small business to determine what, if anything, can be done at the present to reduce your risks, liability, and the potential for issues to come up in the future. And if necessary, it is always good to know you have someone in your corner that you can reach out to when the need arises.
– Authored by Cameron Smith, Partner
To Learn more about how S|A|S Legal Group can assist read about our Business Law practice or Contact Us today.
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