By Jacob C. DeRue (January 21, 2025)

Introduction

The number of small businesses in the United States as of 2022 was 32.5 million business, which comprised 99.9% of all American companies.[1] As a business owner, you are tasked with making many important decisions for your business, and one of the most critical decisions is hiring a business attorney. Navigating the legal realm of drafting and interpreting contracts, protecting intellectual property, or ensuring compliance with industry regulations is arduous. However, with a business attorney, you can feel a sense of peace of mind, knowing that you have a professional to guide you through these complex legal matters and handle them on your behalf.

This article will provide a brief overview of the role of a business attorney, which includes providing preventative legal care, advising on business decisions, and representing your business in legal matters. It will also discuss why every business needs this service, what a business attorney can do for your business, and the costs and benefits of having a business attorney. Whether you are an experienced or new business owner, this blog post will teach you what you need to know.

What is the Role of a Business Attorney?

Business law encompasses many legal fields affecting business operations, including employment law, contract law, intellectual property, and regulatory compliance. A business attorney brings a wealth of knowledge to the business owner, relieving them of the legal burden and allowing them to focus on operating the business.

Hiring a business attorney gives your company access to consistent legal expertise that can save the business money in the long run by avoiding expensive legal mistakes. A business attorney’s job is to ensure the business operates legally, efficiently, and to its fullest potential, providing peace of mind. Business owners benefit from the help of an attorney because they can focus their time and effort on the business instead of navigating the legal realm of contracts, litigation, and regulations.

There are two general categories of attorneys in business law. In-house counsel are attorneys who are business employees and work only for your business. Large, established businesses often use in-house attorneys because they can be expensive and unnecessary for small businesses. Alternatively, outside counsel is when businesses hire lawyers or law firms that are not employed by the company to work on their legal issues. The type of lawyer you will use depends on many factors, including the size of your business, the nature of your work, the amount of money you want to spend on the lawyers, and many other factors. Ultimately, all business attorneys are there to help.

Why Every Business Needs Preventative Legal Care

Every business needs to be proactive with preventative legal care. Addressing legal issues before they arise can save business owners significant money they would have spent on litigation costs if they had acted reactively instead. Many businesses only consult an attorney after a problem arises, often leading to higher legal fees and more public legal exposure. With their expertise, business attorneys can help identify vulnerabilities in your contracts that may cause legal issues in the future and take corrective actions to save you money in the long run.

Further, preventative legal care mitigates business disruptions. Legal issues not addressed preemptively and quickly can lead to slowed operations, hurt reputations, or lengthy and costly court visits. For example, a lawsuit that stemmed from poor employment practices could lead to employee turnover, negative reviews, and loss of productivity. A business attorney could aid in mitigating risks in employment contracts and crafting a crisis management plan your your company if something happens. This risk mitigation could involve drafting clear and fair employment contracts, providing training on legal compliance, and developing a strategy for handling legal disputes.

Lastly, if you establish a working relationship with your business attorney, then the attorney can better understand the circumstances of your business and tailor their work to your business’s unique needs. This personalized service allows your attorney to foresee your company’s legal issues and quell them before they become costly. Also, because your attorney knows your business and you are not hiring a new attorney for each issue, the attorney will already have baseline knowledge about your business, thus decreasing the time they must spend familiarizing themselves with the problem and solving it.

Costs of Having a Business Attorney

One of the primary reasons business owners hesitate to hire outside counsel is the perceived cost. However, when it comes to routine legal issues, the price of a lawyer may not always be a burden. In fact, if these issues start accumulating, having a lawyer on retainer could prove to be a cost-effective and beneficial addition to your business.

Further, finding an attorney with the required expertise you seek who meshes well with your business and understands your management style may take a lot of work. However, when you find a lawyer who works well with your business, you will likely not need another lawyer for a long time.

Lastly, conflicts of interest are also a factor that business owners must consider when hiring lawyers. Generally, lawyers cannot work on matters they or their firm have a conflict with. However, some conflicts can be waived and may not affect the disputes except in rare cases.

Benefits and Services a Business Attorney Can Bring to Your Business

An attorney can help in almost every aspect of your business. By utilizing a business attorney, you can focus on the business side of the company and not have to worry about legal issues falling through the cracks. Common examples of tasks that a lawyer can help with are:

• Ensuring legal compliance and risk management: Attorneys help ensure your company complies with local, state, and federal laws. Laws are constantly changing, and therefore, regulations are also continually evolving. A business lawyer will ensure that your company is current and legal with the current regulations to ensure smooth operation.
• Drafting and reviewing contracts: Attorneys can create precise and legally enforceable contracts. Contracts are critical tools in business; if a contract is drafted incorrectly, a party’s interests may not be represented in the document. It is vital that an attorney aids in making the contract and ensuring it is properly enforced.
• Protecting intellectual property: Attorneys can help protect your company’s intellectual property by ensuring that your IP is secured by trademarks, copyrights, or patents. This protection against IP theft will provide a sense of security for your business. Absent IP protection, your company may lose money due to competitors stealing your ideas and products. If another entity does infringe on your IP rights, your business attorney can enforce your rights through legal cases and protect your interests.
• Navigating employment law: Attorneys can create sound and fair employment contracts that will lead to better employee retention and less litigation. Labor laws are often complex (i.e., wages, safety regulations, etc.), and having an attorney who specializes in these fields will benefit your business.
• Resolving disputes and litigation: Attorneys can resolve common business disputes and legal shortcomings such as partnership disagreements, contract breaches, or employment agreements. They can also guide business owners on whether litigation, arbitration, mediation, or negotiation is better for the company. Further, if the issue is not resolved before it becomes legal, the attorney can represent the company in court.
• Assisting with business formation and structure: Attorneys can provide insights into the best type of business structure for your personal needs. LLCs, corporations, partnerships, and other primary business forms offer different benefits that suit companies better.
• Helping with mergers, acquisitions, and business growth: Attorneys can provide insights into the best business structure for your personal needs. Attorneys play an integral role in reviewing contracts for purchasing, selling, and acquiring other businesses and can protect your business from unfair contracts and future legal liability by proactively fighting for your interests.
• Handling regulatory and licensing requirements: Attorneys can help businesses understand and comply with regulations specific to their industry. Proper state and local licensing is crucial to ensure the business operates successfully. If regulatory and licensing requirements are not met, the business could be fined or potentially not allowed to continue operations.

Conclusion

In conclusion, business attorneys can offer a wide range of services that could significantly benefit your company in the long run. By carefully considering the costs and benefits of hiring in-house or outside counsel, you can make a well-informed decision to support your business and protect your interests.

This blog post is intended to overview the nature of business attorneys. Individuals who have questions about what type of lawyer may be best for their business, questions about business law, or seek experienced outside counsel for their business should contact Jacob DeRue at Briglia Hundley, P.C., through the Contact Page.

The information in this blog post may not reflect the current law in your jurisdiction. No information in this blog post should be interpreted as legal advice, and the blog post is not intended to substitute for legal counsel.

About The Author

Jacob DeRue is an associate attorney supporting BrigliaHundley, P.C.’s business litigation and corporate law practice groups. He joined the firm the summer after his first year of law school as a summer associate, then transitioned to a law clerk until passing the Virginia Bar after graduation and becoming an attorney. Mr. DeRue primarily practices in the firm’s corporate law practice group, commercial and business litigation practice group, and civil litigation practice group.

Briglia Hundley represent individuals and corporations throughout the Mid-Atlantic region, including Alexandria, Annandale, Arlington County, Ashburn, Burke, Centreville, Chantilly, Clifton, District of Columbia, Dulles, Fairfax County, Falls Church, Great Falls, Herndon, Leesburg, Loudoun County, Manassas, Manassas Park, McLean, Middleburg, Montgomery County, Oakton, Prince George’s County, Prince William County, Reston, South Riding, Springfield, Sterling, Tysons Corner, Vienna, Winchester and Woodbridge.

Contact the Author

Jacob DeRue

Briglia Hundley, P.C.

Tysons Corner Office

1921 Gallows Road, Suite 750

Tysons Corner, Virginia 22182

Telephone: 703.883.0880

Fax: 703.833.0899

---

[1] Chamber of Commerce Team, Small Business Statistics, Chamber of Commerce (Sep. 10, 2024) https://www.chamberofcommerce.org/small-business-statistics/.