Small businesses can be vulnerable in the market without adequate layers of financial and legal protection. The problem is startups typically don't have the capital to invest in all the right things that allow a well-funded business to operate safely and thrive. Many owners are turning to subscription-based legal services for small businesses as an effective cost-cutting solution. Here's a look at critical proactive steps to protecting your business, including getting access to low-cost legal advice.
Cutting Legal Cost
The American Bar Association recently reported that 80 percent of Americans could not get the legal support they need due to high costs. The middle class simply doesn't have the available savings to pay attorneys hundreds of dollars per hour. The solution for many people to bypass these high costs is a subscriber-based agency. Like cloud services that avoid high upfront fees for software access, subscription models for legal services cut costs tremendously while allowing access to services that can resolve legal issues.
Another major problem with conventional legal services is that pricing can be unpredictably volatile. Small businesses must operate on predictable tight budgets, which is an essential factor that led to the rise of subscription-based legal services. There's a huge market of business owners who can't afford conventional attorneys but are willing to pay a nominal monthly fee to get occasional legal advice. These services may change over time for this model, depending on shifting demand.
It's typical for subscription-based services to charge an initiation fee for clients to access low-cost services. These law firms must constantly reevaluate their services to ensure they are offering what the market demands and build loyal relationships with small business owners. The two types of businesses that can benefit the most from the subscriber model are brand new startups looking for low barriers to market entry and growth companies that need easy scalability.
One of the best ways to avoid high upfront legal costs is to research subscription-based legal services for small businesses like BizCounsel and LegalShield. You won't have surprise bills, and you'll be able to keep costs under control. Such a legal service might charge hourly or monthly rates but reduce the amount of time involved. In other words, a legal subscription plan might mean paying for an attorney for a couple of hours per month over several months.
A subscriber plan keeps legal cases tightly managed so that the client isn't forced into sudden debt they can't control. It also opens the door to flexible customization based on your needs and schedule. This arrangement, also known as lawyer-on-retainer, helps avoid the hidden fees with non-hourly billing schemes. You might appreciate a flat predictable fee more, which is what the subscription model offers. This model differs from a DIY legal service that avoids giving legal advice or prepaid legal service, neither of which takes on professional law firms’ role.
A typical subscriber model for legal services provides unlimited legal advice calls and basic tasks such as reviewing documents. This model works from a law firm perspective because it serves hundreds of thousands of people who need essential services that don't require consuming much time. The model works for clients who need minimal legal assistance. The model becomes strained when too many subscribers need help simultaneously, or too many subscribers try to exploit the system by making frequent calls for legal advice.
Not all subscription-based legal services operate remotely, as some allow clients to schedule face-to-face meetings in addition to communicating through the phone or email. This scenario is ideal for a company filing a patent, which can be a long drawn out expensive process, mainly when an application contains errors.
Getting the Right Business Insurance
Starting with the right business insurance is another way to protect your business from preventable legal problems. Many companies buy general business insurance, which covers primary liabilities up to certain limits. But insurance policies don't cover everything, so it comes down to the type of operation you run and the number of employees you have. The best small business insurance plans are customized for a specific enterprise.
A business insurance plan protects your company from natural disasters, theft, and property damage caused by others. It can also protect your business from being destroyed by litigation. Discussing your policy with an insurance professional is the key to making sure all your valuable belongings, such as computers and other equipment, are protected. Businesses now rely on technology more than ever before, so disruptions to your computing system can hurt your ability to earn revenue. The insurance agency will pay for new equipment if it's damaged or stolen.
Compliance with Government Regulations
Another way to stay out of legal trouble is to be diligent about complying with federal, state, and local regulations. Make sure your business is adequately licensed and meets other state requirements. Working with subscription-based legal services for small businesses is an excellent way to double-check the status of your operation to ensure there are no surprising legal matters on the horizon. If you run a healthcare or financial organization, it's critical to invest in the appropriate technological solutions that ensure robust data protection.
The subscription model works for simplifying legal services such as court filings. In some cases, you can get unlimited access to an attorney by paying a low monthly fee through online services. It's also an efficient way to gain access to a wealth of valuable legal advice.
Startups can benefit enormously from subscription-based legal services. It will help avoid upfront fees and plan your budget more predictably and precisely. You'll also develop a close relationship with an attorney who understands your business. The combination of low-cost legal services and the proper insurance along with effective digital marketing can help get your startup off the ground. Make sure your business is well-grounded with reasonable protections before chasing your entrepreneurial dreams.