10 mistakes you don’t know your business is making mistakes... · you don’t have a buy/sell...

EINTERZ & EINTERZ PREVENTING PROBLEMS PROVIDING SOLUTIONS

EINTERZ & EINTERZ ATTORNEYS

General purpose practice with client-centered focus and emphasis on efficiency and value

Special focus on small businesses, construction industry, labor & employment law, and litigation, including appellate work

Individual services include trust and estate planning, medical malpractice, and real estate matters

10 Business Mistakes

Universal – all industries, all owners, all personalities

Based on our experiences – from setting up to tearing down, and everything in between

Why? Understand what can happen to both avoid and prevent

1 2 3 4 5 6 7 8 9 10

You don’t have an attorney.

“Do it right the first time and you won’t have to do it over”

Attorney as counselor, advisor

Your attorney should be able to exist in at least three arenas simultaneously:

The Courtroom

The Boardroom

The Family room

1 2 3 4 5 6 7 8 9 10

You have an Attorney.

Poor management of relationships can cost deals, clients, thousands.

A time and place for Yosemite Sam

We’re YOUR asshole

Is there a better, more creative, more palatable solution available?

1 2 3 4 5 6 7 8 9 10

You don’t avoid the Courtroom.

Expensive, Stressful, and INSANE

Litigation is the most economically and emotionally stressful situation a small business can endure.

In our experience, even the most basic litigation requires at least $25,000 in fees alone.

Partnership with Midwest Dispute Resolutions, Inc. – Summary Arbitration

1 2 3 4 5 6 7 8 9 10

You don’t know the difference between ‘Taking the Bull by the

Horns’ and Getting Gored.

Pick your battles

Upsetting a vendor can be expensive, time consuming, and irritating

Running afoul of the IRS can leave you bankrupt, banned, and broken (in far less time)

1 2 3 4 5 6 7 8 9 10

You don’t know the law.

1 2 3 4 5 6 7 8 9 10

EVERY business and industry has specific governing laws and/or regulations

HICA, IURC, OSHA, IDEM, IDOI, etc.

Outsourcing knowledge to an attorney is inefficient and expensive

Use your attorney to teach you WHERE to look and HOW to use the info – then contact him only for updates and issues

You don’t have a Buy/Sell Agreement.

If you don’t decide who owns and who can own your business, the courts will be happy to do it for you

Buy/Sell establishes current ownership, procedure for adding new owners, and defines who can/can’t be an owner

They are inexpensive to create, especially for single-owner businesses

Estate and Business Succession Planning

1 2 3 4 5 6 7 8 9 10

You don’t use written contracts.

Or, you use written contracts that have not been reviewed by an attorney

Contracts define ALL rights and obligations between the parties – if you want it, need it, or hate it – WRITE IT

Without a good contract, your agreement will be interpreted (and enforced) by third parties who were not involved in the negotiation process.

1 2 3 4 5 6 7 8 9 10

You don’t have an Employee Handbook. They’re not just for the Fortune 500

Most business will face as many lawsuits from employees as from other businesses.

Nearly every employment dispute carries the threat of attorneys fees in addition to other penalties and damages – many are also assigned to Attorney General or DOL

A well-drafted Employee Handbook is not cheap, but rarely needs substantial updates and can avoid thousands in conflicts

1 2 3 4 5 6 7 8 9 10

You sign Personal Guaranties.

Any time you put your name on the dotted line, there is a chance you’re also putting your house, car, and cash on the line

Asserting that a debt was personally guarantied by an owner or officer is a favorite tactic of bill collectors, and difficult to defend

Carefully read every contract – ESPECIALLY form contracts – and send questionable ones to your attorney.

Avoid “Individually” “Personally” or “Guaranty”

1 2 3 4 5 6 7 8 9 10

You think doing it the right way has to be expensive. makes it easy. They also make

it wrong.

“Good” advice doesn’t exist in a vacuum – it must also account for value. $500 of advice to save $400 is bad advice

Company Audits and Reviews – Proactive Advice Saves Money!

Your lawyer should consider themselves a business partner and invested in your success

PREVENTING PROBLEMS PROVIDING SOLUTIONS

1 2 3 4 5 6 7 8 9 10

1. You don’t have an Attorney. 2. You have an Attorney. 3. You don’t avoid the Courtroom. 4. You don’t know the difference between

taking the bull by the horns and getting gored.

6. You don’t have a Buy/Sell Agreement. 7. You don’t use written contracts. 8. You don’t have an Employee Handbook. 9. You sign Personal Guaranties. 10. You think doing it the right way has to

be expensive.

5. You don’t know the law.

The 11th Mistake

You spend more time worrying about these mistakes than running your business.

We’re in the business of covering your ass – you need to take care of the hard part.

EINTERZ & EINTERZ PREVENTING PROBLEMS PROVIDING SOLUTIONS

www.einterzlaw.com

NEXT HAPPY HOUR SEMINAR: “ ”

Friday June 22, 2012 4:00pm FEATURING BEER FROM INDIANA’S OWN:

www.twodeepbrewing.com