About 45% of small businesses in the U.S. are involved in litigation every year. It’s almost inevitable that your small business will someday be exposed. While the idea of litigation may be scary, having strong contracts in place will help protect your business and cut your risk.
To ensure you get the most out of your business contracts, it’s important to have a business lawyer involved in the writing or review process. Keep reading to learn three reasons why it’s imperative for every small business to have a business contract lawyer.
Help You Better Understand Your Contracts
Business contracts are usually full of legal jargon that is hard to understand when you don’t have a legal background. Contract lawyers are trained to clearly break down the agreement provisions and can clarify the real meaning in clauses for you. With their trained eye, contract lawyers are sure to point to critical provisions you may have skipped over or missed.
Hiring a business lawyer that specializes in practice areas aligned to your industry is important. They’ll be familiar with customary contract terms and can write the terms in your favor. A lawyer will advise you on reasonable terms and create a negotiation strategy that can save you thousands of dollars.
Identify and Mitigate Potential Liability Problems
You can avoid liability risks and expensive disputes by having a business lawyer draft or review a contract. They are skilled at filling in any gaps that might lead to a lack of clarity or misinterpretation.
When writing a contract, a business lawyer’s expertise in legal writing will ensure the language used will protect your interests. If they’re reviewing a contract on your behalf, they’ll look for any missing key terms and will suggest any extra needed clauses.
If any problems arise after the contract is put into place, having a contract with clear language is important to help you solve the issue. If you end up in litigation, a good contract will increase your potential for success. It can also drastically cut down on the length and complexity of the case.
Ensure Your Contracts Are Enforceable in Court
The main reason you use business contracts is to ensure you have an avenue to pursue legal action if the other party doesn’t hold up their side of the deal. Unfortunately, a generic form contract you find on the internet or something you write yourself might not be enforceable in court.
One of the best ways to ensure your contract will hold up in court is to hire a business lawyer to write contracts for you or review contracts you’ve written. They’ll ensure the contract addresses the specifics of your transaction and the applicable local and national laws.
Protect Your Small Business With a Business Contract Lawyer
There’s no better time to start protecting your small business! Hiring a business contract lawyer will help you execute sound contracts and mitigate your risk.
If you’re interested in more tips to help your small business thrive, check out the rest of our blog.