Although most startups believe that hiring a lawyer is necessary to navigate the intricacies of starting the business, the reality is that by carefully selecting the proper legal counsel, these professionals can become genuine partners in a company’s journey, adept at helping it navigate through unforeseen challenges. In fact, by dedicating the time upfront to find the most suitable legal advisor who can evolve alongside your business, you will not only have the opportunity to mitigate potential risks but also cultivate a shared understanding of your business.  

Does the Attorney Have Experience with Startups? 

When choosing a lawyer for your startup, it is important to find someone with extensive experience working specifically with startups in your industry. In addition, look for a lawyer with a proven track record of successfully guiding startups through the various legal complexities and challenges they face. 

However, stay cautious of law firms where startup representation is not a primary focus, as their lawyers may not possess the necessary expertise or familiarity with the unique issues and financial constraints that startups often encounter. While some firms may claim to have experience working with startups, you will want to ensure they are not using your startup as a learning opportunity, which can add unnecessary costs and complications. 

To find out how much experience a potential attorney has, consider the following questions: 

• Does the law firm have a startup practice? 

• What type of legal work does the firm or the attorneys do for startups? 

• How many startup financings has the firm or the attorney handled in the past two years? 

• Does the firm have experience with the company’s industry? 

• How is the law firm positioned to help my company? 

Determine Which Attorney Is Working on Your Case 

Law firms are composed of a diverse group of attorneys with varying levels of experience and billable rates, including partners and junior associate lawyers. Before hiring a law firm to work on your start-up, it is important to understand the frequency and nature of the communication you can anticipate from the legal team on a day-to-day or month-to-month basis.  

That is why consider asking the following questions: 

• Who will be the primary contact I work with? 

• Do you engage with specialists if you need them, such as licensing or regulatory legal professionals? 

• How will I know my concerns are being addressed by the proper attorney on the team? 

Determine the Costs Involved 

Early-stage startups often face financial constraints, which can make it challenging to afford high billable hourly rates. However, a proficient startup lawyer understands this predicament and may be open to offering a variety of flexible fee arrangements to accommodate the needs of startups.  

These flexible arrangements can include flat fees, equity arrangements, deferred payment plans, or other creative fee structures that align with the startup’s financial situation. However, to ensure everyone is on the same page with these fees, discuss these arrangements with potential lawyers during the consultation and consider the following questions: 

• What services will the law firm provide? 

• Which services will be billed to the client? 

• What does the fee arrangement look like? 

• Does the law firm offer any special fee arrangements? 

Contact SaaS Today  

Our team at SaaS Law provides comprehensive legal support to a diverse range of SaaS companies. Our clientele spans from budding pre-revenue startups to well-established billion-dollar conglomerates. However, our extensive experience makes us well-qualified and equipped to cater to your unique legal requirements in the SaaS and technology sectors.  

To learn more about our firm’s services, contact SaaS Law today and review your questions with our dedicated and experienced startup attorney.