3 Reasons Why a New Company Should Hire a Corporate Lawyer

If you are looking to start up a company, hiring a corporate lawyer is essential. There are many legal requirements and provisions when it comes to the inception of companies, its products, and the way it carries out its operations. Corporate lawyers will work closely with you to ensure that the business you have established operates legally. In addition, the corporate lawyers can also negotiate transactions on your behalf and help you to adopt the best practices to achieve maximum profits as you run the company. Here are a few legalities corporate lawyers can help you handle when setting up a new company:

Patent law

A patent refers to the legal ownership rights granted to the inventor of a certain process, article, work of art, or a machine. The invention has to be non-obvious and useful to the people targeted by the inventor. A corporate lawyer will help with the process of acquiring a patent, even if it involves proving that the idea is new and unique. This will help your company to have a source of revenue through the royalties paid by any parties intending to use the idea, process, or product that you have invented.

Contract law

Your company will be dealing with a variety of clients in the course of its operations. This will involve signing numerous contracts as a sign of an obligation between you and the clients. For instance, you can sell goods to a client on credit where they promise to pay you in the future. In such a case, both of you enter a contract acknowledging the delivery of goods and the expected receipt of payment in future.

In some cases, the contract is more complicated than just the exchange of goods for future payment. If a corporate lawyer negotiates such contracts on your behalf, their understanding of the law makes them better placed to help you avoid litigation in future. Such litigation can arise from a situation in which you did not understand the terms of the contract or misinterpreted the meaning of some contractual terms.  

Tax law

Your company has the obligation to remit taxes to relevant tax authorities run by the state or local governments. If you do not plan your finances and operations well, your company can end up spending too much on tax. Your lawyer can help you take advantage of tax avoidance measures.

Tax avoidance is a legal measure by which companies or individuals can reduce their tax obligation. On the other hand, tax evasion is illegal because the person does not pay any tax even when they are supposed to. After your finance officers have identified points of double taxation and how you can avoid them, you should consult your lawyer to establish if the tax avoidance measures are legally applicable.