startup legal FAQ – 2. Lawyer says what?

The vast majority of the advice emerging companies lawyers give clients is meant to address one or more of these risks:

  1. Litigation risk. We help you avoid things that could put you on the losing end of lawsuits.
  2. Valuation risk. We help you take steps to fortify your company’s value (or at least not needlessly impair it) for when investors and buyers take an interest.
  3. Prediction risk. We help you maintain predictable order over your company’s affairs with sets of procedures, policies, and contracts, which can reduce the inevitable uncertainty faced by every commercial enterprise.  And finally…
  4. Stupidity risk. We try to forestall acts or omissions on your part that may seem like a good idea, but are, in fact, just plain stupid.



You can’t eliminate risk. But if you’re willing to act ethically and honestly, you can reduce a lot of it. You should expect your lawyer to be a constant voice in support of that goal.

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