Getting a new business off the ground is an exciting challenge and a major milestone with the potential to change your entire life. However, it’s also a complex legal process, and some early decisions will have a dramatic impact on the success of this new venture. Consider the following matters business attorneys encourage entrepreneurs to prioritize as they forge their path.

3 Legal Issues Involved in Starting a New Business

1. Select the Right Corporate Form

One of your first decisions is also one of the most important: what legal form the business will take. Operating as a sole proprietorship may offer some tax advantages, but this structure exposes you to legal liability if someone sues the company or you have to shutter the business. Starting a corporation is much more labor-intensive, but these entities provide a layer of insulation from corporate debts. Opening as an LLC is a good compromise, but it can be more difficult to secure funding from investors or venture capitalists. Before choosing a corporate form, talk to an attorney to gain an understanding of the benefits and drawbacks of each option.

2. Preserve Your Intellectual Property Rights

Building a strong brand is critical for success, so the logo, slogan, and other elements of your identity can be just as important as the products and services you produce. Many business owners assume intellectual property only applies to tech companies offering brand-new products, but every business has intellectual property to protect. Talk to your attorney about registering trademarks and protecting copy and any future intellectual property concerns.

3. Make a Long-Term Plan

If your new business does well in the first year, will you be able to handle the demand and consistently deliver results without sacrificing quality? A long-term business plan helps ensure you can meet the challenges of unexpected success as much as it helps avoid failures. This plan will also provide a roadmap for scaling up responsibly and sustainably.

Whether you’re launching a tech startup or opening a new coffee shop, Zangari Cohn Cuthbertson Duhl & Grello P.C. provides the sophisticated legal expertise you need. Their attorneys have been supporting businesses owners throughout Connecticut, Rhode Island, and the rest of New England since 1946, offering customized solutions and individualized attention. Visit their website for an overview of their legal services or call (203) 789-­0001 to schedule a no-obligation consultation today.