The Corporate team at Darbys has a long history of helping start-up companies. We do this by providing a practical and cost-effective service to help with the legal issues involved in establishing and funding a new business. We understand that setting up a business can be confusing, time consuming, costly and stressful. Our job is to listen to what you are trying to achieve, and then to advise and explain the option that is right for you to start your business. In this way we can make sure you only incur the costs that are really necessary at each stage of the process.
Structure?
There are four main ways of structuring your new business: sole trader; partnership; limited liability partnership ('LLP'); and limited liability company. Both sole trader and partnerships give you no protection at all if any claims are made against the business or if the business has any liabilities - your personal assets cannot be kept outside the business or beyond the reach of creditors. For that reason, many sole traders and many partnerships go a step further and actually set up a limited company. In the eyes of the law, such a limited company is a separate person - separate from the owners of the business - and if the business has any liabilities then creditors cannot usually go beyond the assets of that limited company, and the assets of the owners will mostly be safe.
If you are setting up as a partnership, an LLP or a limited liability company, you may be doing so with the assistance or involvement of others, whose roles going forward you need to give some thought to. Are those others to have a say in how the business is run, are they providing finance, some other key asset or skill, or some other intangible service? Are they to share in the profits (and losses) of the new business? We can discuss these sorts of issues with you and advise on what documentation you need at the outset to address them. Partnership Agreements, LLP Agreements, and Shareholder Agreements do not need to be hugely complicated or costly and can help save significant amounts of financial and emotional strain at a later date.
Protection?
Depending on the type of business you are setting up and what give it its inherent value, there may be a need to protect the name, the branding, design processes, inventions etc that the business will rely on. This "intellectual property” is often vital to business and some of these rights (including patents, registered trade marks and registered designs) require registration in order to get them maximum protection. You should do this as soon as practicable and keep your ideas confidential in the mean time. However, other intellectual property rights (such as copyright) do not need to be registered. Taking early advice on how you can best protect "intellectual property” in its various forms is strongly advisable.
Having listened to what you say in all of these areas, we can advise you on which business vehicle is best for you, and also on the documents and agreements that should be in place between the partners or shareholders in the business to make sure the business is safe over the years - with flexibility where it is needed and with route-maps built in to steer you through any difficulties that arise.
Helping our clients to set up and then adjust and develop their business as it evolves is satisfying and enjoyable for us. We like nothing better than to see a business we have helped start as an acorn go on to grow into a mighty oak.
Whatever you are planning to do, talk to us initially so we can listen to you. There are no costs to you for this. It could be the best money you haven't spent. As we say, we are always there for businesses who are in our BLUE LAW scheme, so we invite you to join BLUE LAW now. Once you have joined, we try to answer any legal enquiries that you have, free of charge. If legal work is needed, we give you a price, and you are then free to "shop around". If you wish to speak to us now, please click on "Please Contact Me Now” or call us on 0800 084 3256. We look forward to always being there for you.
