All Business Owners Should Have a Small Business Legal Plan

Have you considered a Business Legal Plan for your small business? If not, you should. Information is the most vital part of your business and having access to quality and timely information will determine the effectiveness of your business decisions.  

There are several companies offering “legal business insurance plans” which allows you to take advantage of legal services for a small monthly membership fee. The plans vary from company to company and range anywhere from $45 to $150 monthly. The costs depend on the size of your business and plan you choose.

Many of these services do not require a contract and there are no cancellation fees.

Some plan offerings include:

-          Unlimited phone calls to attorneys on any subject matter.

-          Document and contract reviews.

-          Letters and Phone calls on your behalf

-          IRS Audit protection

-          Collection Services.

-          Identity Theft Preventative Services.

 Any services that fall outside of the plan benefits will incur an additional charge above the monthly membership price, but generally discounts do apply. The discounts vary by company but are generally 25% off of the firm’s hourly rate.

 The question always arises: “What kind of attorney will I get for that price and how can they make it so cheap?” The networks of attorneys utilized are generally AV rated by Martindale Hubble. The AV rating is the highest rating a law firm can receive. The price is low because of the number of memberships compounded monthly allows them to offer the service at a reduced rate. The same idea as buying from a bulk discount store, they have a membership fee to reduce their costs.

Many business owners don’t see a need for legal plans because their business “doesn’t have legal problems.” The truth is every time a customer walks in the door, you hire an employee, sign a contract, have customers that refuse to pay, etc you have a legal issue.

When legal issues arise we tend to ignore them, attempt to handle them ourselves, or talk to friends and ask their advice. We usually don’t use attorneys because at $150 an hour, the phones heavy.

Is your business complaint with all Local, State, and Federal laws? Attorneys can help you with compliance issues and advise you on courses of action to correct issues before they become problems with fines and penalties.

Do you have customers that refuse to pay their bills? When we send collection letters to delinquent customer it’s not as effective as an attorney sending a letter with their letterhead on it. The best part about utilizing this form of collections is the check is mailed directly to you. You keep all of the money owed to your business without having to pay the attorney a percentage as you would a traditional collection agency. Utilizing legal service plans enables you to recoup money more quickly and effectively.

Owning a small business legal plan will help you grow, develop, and protect your business.