After over thirty years of practice, I have seen businesses enjoy maximum profit and optimal marketability when the owner is ready to sell, and I have seen businesses fail.  The difference long term is to have an attorney prepare and review the business documents and to use a C.P.A. for financial statements and tax returns.  Cutting corners can mean forfeiting big money when it’s time to sell or when ownership arrangements change.

       Plan to succeed.  Start out with the proper advice and documents and show your commitment to a sound foundation from the outset.

        How legal advice makes businesses money number 1 - Sell for Top Dollar.  Using a lawyer for documentation and a CPA for financial statements and tax returns will, when it’s time to sell, provide prospective buyers with four sets of documents:
            a.  corporation or LLC records;
            b.  agreements in force between the business and third parties;
            c.  financial statements; and
            d.  tax returns.
The above form the foundation of a business, and should be on hand to attract the most qualified buyers and to command the highest selling price.
        How legal advice makes businesses money number 2 - Intellectual Property and Brands.  Brands can make businesses money.  But many “branding” resources do not understand the mechanics of how trademarks and “brands” create value for a business.  As a lawyer who is experienced with understanding trademark issues, I have seen the price that businesses pay for a desirable “brand” or trademark.  That’s why I can help you develop a coveted brand.
        How legal advice makes businesses money number 3 - Facilitate Different Relationships.  When a business relies on an attorney for its agreements, its relationships with other businesses are clear, allowing the most prosperous transactions possible.  Because the business is not concerned that issues have been overlooked, and because its agreements are comprehensive, it realizes the maximum return of time and resources.
        How legal advice makes businesses money number 4 - Contracts and Loans.  When using or enforcing agreements, or when providing documents in order to obtain contracts or loans, the legal condition of the business will be clear.  Sophisticated documentation showcases business owners’ commitment to the business.
        How legal advice makes businesses money number 5 - Report Income.  Some businesses “hide” income to pay lower taxes.  This devalues the business by showing less revenue when it’s time to sell, thereby reducing the market value and the price paid for a small business by thousands to millions of dollars.  Hiding income also causes business owners ongoing stress which reduces productivity and prosperity because there is a nagging fear of an IRS audit or being “found out”.
        How legal advice makes businesses money number 6 - Know Who Owns What Interest and How to Change It.  Proper documentation of each owner’s interest will enable the business to continue to thrive and maintain its value when an interest needs to terminate, whether as a result of sale, disability, voluntary exit or otherwise.  
        How legal advice makes businesses money number 7 - Professional Documentation.  Documentation is the foundation of a business.  Using a lawyer for business and corporation records demonstrates commitment to a business and to legal compliance.  For maximum respectability and value, businesses use a lawyer to draft agreements and records.

 NOT INTENDED AS LEGAL ADVICE - CONSULT WITH A QUALIFIED ATTORNEY BEFORE RELYING ON THIS INFORMATION

Copyright 2010, 2011 Louise Aron All Rights Reserved