How well is your business prepared for a fight?
You’re probably wondering what kind of fight businesses need to prepare for. Well, we’re not talking about physical fights. Of course, it’s highly unlikely that your competitors will invade your premises and start a war.
However, anyone can slap your business… with a lawsuit, that is. Business lawsuits are incredibly common, especially considering that anywhere from 36% to 53% of small businesses are sued every year.
A lawsuit can kick your business to its knees. You need to be prepared for these suits, which means you need a legal team. But not just any legal team is going to properly defend your company.
You need a competent corporate legal team. Here’s how to assemble it.
1. Know Your Needs
Some businesses will do well with having one lawyer on retainer. Other businesses will need an entire legal department lead by a general counsel.
The number of lawyers your business needs largely depends on its size. It’s not prudent to hire a team of lawyers if you’re a small business with a few employees. Similarly, if the business is a massive corporation with national or global operations, you need a team of lawyers on standby.
The nature of your business can also determine your needs. For example, if you’re operating in a high-risk industry, such as financial services, where you’re more likely to commit violations, you might want to have a top legal team on your side, regardless of the size of your business.
2. Set a Budget
There are pro-bono lawyers out there, but as a for-profit business, don’t expect that you’ll find free legal services. Lawyers cost money to hire and top lawyers can cost an arm and a leg. In fact, maintaining a top legal team can easily be one of your business’s biggest expenses.
This is why it’s prudent to set a budget.
How much do you want to spend on legal services in a certain period of time, such as monthly or quarterly? When you have a budget, it’s easier to determine the number of lawyers you’ll need to hire and for how long.
3. In-House or Outsourced?
When hiring business lawyers, you have two options: in-house or outsource.
In-house means your lawyers will be your employees. Outsourcing means you’ll enter into a contract with a third party, a law firm, to work for you.
Both options have their pros and cons, but the suitable one will depend on your budget and legal needs. If you’ve got a large budget and your business has many legal needs, it makes sense to assemble an in-house team. A recruitment agency can help you find the best lawyers in your area.
However, if you want to keep lawyers who you can use as needed, it’s best to outsource.
Build a Competent Corporate Legal Team
When a business is facing lawsuits or other legal challenges, its legal team is the first and possibly the only line of defense. If you don’t want lawsuits to threaten your business’s survival, it’s your job to assemble a top team of corporate lawyers. Use this advice to build the team. Explore our blog for more tips and insights.
