How Soon Does a Start Up Need a Lawyer?

WWDC media is starting the new video series called ask the experts.  Over the years, I’ve noticed that as I’m building Websites for clients sometimes they have general business questions.  I decided to interview Charles Pinkston an expert lawyer that’s been practicing law for over 30 years.  Mr.Pinkston told me that there are a lot of unnecessary costs that new business owners can save on.  And that the same time there are a lot of things new business owners don’t know that they need to spend money on.  So I asked Mr. Pinkston if people had to pay a lawyer to start a business, file articles of incorporation, and get a Tax ID number.  His answer surprised me. Basically, you don’t need a lawyer to file Articles of  Incorporation.  At least from a legal standpoint.  At the same time he did point that you SHOULD  seek legal before you start a business to make your that your covered legally.  There is a fee for filing Articles of Incorporation with your State.  There is no fee for getting a Tax ID number from the IRS Website.  Every State is different, you may need a business license, share holders, or insurance.  You’ll definitely need some type of consultation from a lawyer to keep your corporation in good standing.  Every year your business has to file certain paperwork with The State. You’ll definitely want to make sure that’s done correctly.  Different types of businesses file differently and every State has its own rules.  Some States are easier to do the paperwork yourself and where some States are harder.  In the 2006 I started a C Corporation in Indiana I had to mail a certified check to Indianapolis’s Secretary of State.  In Illinois I was able to do it right from the website.  I personally think you can file the paperwork yourself if you do the research for your State.  But you must do your due diligence and make sure you’re getting your information from a reputable source.  I also agree with with Charles Pinkston that you should also consult legal counsel to double check everything you did was done correctly.  Remember usually free advice is worth as much as you paid for it.

If you need a lawyer and have any more questions contact Charles Pinkston at 40 N. Wells Street, Suite 300 (312) 578-1957