Put lawyer and accountant in a room

Although you may not want to spend the money, it’s wise to invest in the services of lawyers and accountants to structure your new corporation properly. These professionals know how to set it up right so that you can take on future investors, pay less tax, protect your family’s assets and, if you choose, easily sell the company.

Dealing with lawyers and accountants can cause headaches because most entrepreneurs don’t understand the complex worlds of law and finance. Just remember that you’ve hired these experts because they know more about these subjects than you do.

To get the most out of expensive legal and accounting advice, follow these suggestions:

· Tell them everything. To serve your interests best, your lawyer and accountant must know everything. They must know about your personal life and how you want your family protected. They must know your vision for the business and how you plan to grow it or sell it. They must also understand the risks associated with your particular business, so fully explain what your company does.

· Put them in a room together. Let your lawyer and accountant hash out all of the mind-numbing details regarding your incorporation, shareholder’s agreement or corporate structure. Once they’ve agreed on how to proceed, ask them to produce a short memo explaining their reasons.

· Just listen to them. Ask questions of your legal/accounting team, but don’t try to be a lawyer or accountant. Let them do the job you’ve hired them to do. You don’t need to know all of the details of their work, just that the end product supports your future business growth, reduces taxes and protects your personal assets.

While their fees may seem outrageous, lawyers and accountants actually save your business money in the long run. Invest in their services now and you’ll encounter fewer problems in the future.

Startup Expert Roger Pierce advises new entrepreneurs at www.BizLaunch.ca

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