Small Business Startup Lawyers

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Most Common Business Law Issues:

What Is a Startup?

A startup business is a newly developed company or partnership that begins their business by researching the current market and developing a business model. The goal is to quickly develop the startup into a well-known business, often times becoming publically traded (as opposed to a closely-held business) or merging with a larger company. At this point they cease to be a start-up and an independent entity.

Startups that have lower costs, a higher risk and higher potential returns are more attractive to investors, which is important to the startups chances of surviving. Additionally, startups which begin as a small operation have a higher success rate. Startups must follow federal and state securities laws, as these dictate how and when the startup can begin offer shares of stock, register with the Security Exchange Commission (SEC) and distant themselves from the start-up status.

California, and specifically Silicon Valley, is famous for startups and the name originated from the dot-com boom during the late 1990’s. Therefore, the most common startups are based on technology.

What Are the Other Applicable Federal Regulations?

How heavily the federal government will regulate your business depends on different factors, including the nature of your business, any affiliation it might have with the federal government, and the location of your business. Be sure to check for any federal requirements and regulations or special permits and environmental regulations the Environmental Protection Agency (EPA) requires, that would apply to the industry your business will be associated with.

What Kinds of Tax Procedures Do I Need to Follow?

There are two types of tax forms for registration with the IRS that a small business owner should be aware of when starting a company: 

Should I Seek Legal Advice for My Startup Business?

Trying to get your business off the ground can be hard enough, and trying to decipher which federal laws you must comply with and how to comply with them can add unneeded frustration to the process. You should contact a business attorney who has experience dealing with start-ups. Your attorney can advise you of what federal laws pertain to your business and what you must do to comply with them so to avoid fines and other legal expenses associated with non-compliance with the regulations.

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Last Modified: 07-10-2014 11:53 AM PDT

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