An Ounce of Prevention....

Benjamin Franklin coined the old saying, "An ounce of prevention is worth a pound of cure."  It's a piece of wisdom applicable to so many areas of life:  Eating well is much cheaper than a doctor's care later on.  Regular auto tune-ups can save thousands compared to an overhaul.

It's wisdom that applies in the world of small business, as well.  I encourage all of my business clients to make it a habit of consulting with their accountant, insurance agent, banker, and attorney (in that order).  Each of those professionals is trained to spot problem-areas before they turn ugly. 

Unfortunately, what happens too often is that the client was not consulting any of these professionals, and by the time the problem arrives at the law office, it has turned into a nasty business dispute, or full-blown litigation. The problem might have been prevented months or years earlier with an hour or two of consultation with an advisor.

In the legal realm, the issues often include employment contracts (and hiring and firing); misunderstandings about a business partnership (profit sharing; loss allocation; duties of partners; etc.); muddy and vague real estate leases; a do-it-yourself contract for deed (or any other do-it-yourself legal document); disgruntled minority shareholders; and any number of contract disputes. 

Of course, careful planning cannot avoid all future problems......but it certainly is the best medicine to minimize them. 

Whether it is "prevention" or "cure" that you need, the first step is to do something about it.  This month, make it your goal to keep your business heading in the right direction by having a conversation with your accountant, insurance agent, banker, and attorney (in that order).  If you need a referral or recommendation, we know some top-notch accountants, insurers, and bankers.

And, if you're facing a dispute that seems headed for litigation, it is always better to call the lawyer sooner, rather than later.  Often, a creative settlement can avoid a lawsuit entirely.  Or, if a jury trial is unavoidable, the time to begin preparing is right now.