Business Law

3 Tips for Minimizing Litigation Risk for Small Businesses

By September 20, 2020 No Comments

Starting a small business can be exciting, but it also requires a lot of forethought and intentional planning to ensure that it grows successfully. By taking some time now to put the necessary protections in place, you are increasing the likelihood that your business will avoid costly litigation down the road. Of course, disputes may still arise, but chances are you’ll be glad you took some steps to minimize litigation risk for your small business. Let’s take a look at three simple strategies that can reduce your risk of having your business end up in litigation in the future.

1. Contracts Matter

The business world relies on contracts. While it may seem that any contract will do, a clearly worded contract could mean the difference between a peaceful resolution and costly litigation. Contracts that are vague or incomplete will not sufficiently protect the best interests of your business, leaving open the possibility for litigation. While it may be tempting to use generic contracts that are available online to suit your business needs, it’s worth it to consult a knowledgeable business law attorney who can help you draft, review, and revise each contract to give you and your business the protection you deserve.

2. Anticipate Potential Challenges

As a business owner, you naturally have a lot on your mind. It may seem intuitive to look ahead for any potential conflicts that could arise, but doing so on a regular basis can help you remain proactive and ready to address each issue quickly and effectively. Get into the habit of monitoring each aspect of your business for areas of possible contention, and try to address them before they have the chance to grow into more serious disputes. 

3. Have an Experienced Business Law Attorney Who is Prepared to Help

Long before a dispute erupts into a lengthy court battle, it’s useful to have contacted and consulted with a skilled business law attorney who understands your business goals and who is prepared to step in to advise or represent you as needed. Your attorney can review your written contracts to ensure they are up to date and afford you the necessary protections, and you can ask for their guidance regarding any number of business matters. In fact, many business owners find that having an attorney intervene at the first sign of conflict often prevents the need for litigation later on. 

 

To learn more about how John L. Davis PLLC can help businesses throughout the Vancouver area achieve their goals and resolve their disputes, call (360) 597-4740 today.