Business Lawyers in The Woodlands Answer Your Business Law Questions

Answers to Your Business Law Questions

Let’s review some business law and business litigation questions and answers that apply to businesses of all shapes and sizes. 

Q: What exactly is a business lawyer?

A business lawyer is a licensed attorney who has education and experience in state and federal laws that apply to starting and operating a business. Business lawyers also often have experience with employment matters, partnerships, intellectual property, trade secrets, and compliance.  

Q: What sort of clients does a business law attorney help?



Business law attorneys help clients in all stages of business development – from idea to operation, partnerships to dissolution. At Wham & Rogers, we have helped small businesses, startups, corporations, nonprofit organizations, franchises, and many others. 

Q: What can I do to prepare for a consultation with a business lawyer?

If you choose to consult a business lawyer in The Woodlands about your business-related matter, there are a few things you can do to prepare for your consultation:

• Create a list of questions to ask
• Gather relevant documents
• Identify what you want to achieve
• Prepare to pay a consultation fee (if applicable)
• Establish a reasonable budget you can afford

Q: Do I need a business lawyer to help me resolve a dispute?

If you believe that your dispute will result in litigation, or litigation is already underway, it is beneficial to have a business lawyer on your side. There are a number of steps that a business lawyer can assist you with to protect your rights and interests, and uncover possible resolution options.

Q: Are there options other than litigation for business disputes?

Many business law matters can be resolved through alternative dispute resolution, or ADR. Common ADR methods include arbitration and mediation. These options allow both parties and their legal counsel to appear before a neutral third party (arbitrator or mediator), who will guide them through negotiating a settlement. 

Q: What is a nonprofit organization?

A nonprofit organization is a corporation with a specific purpose, including:

• Education
• Religious
• Scientific
• Charitable

Most often, nonprofits are dedicated to furthering social causes, advocacy, education, and research. In essence, they are a business operating not for profit, but to further their cause and benefit society. Nonprofit organizations are exempt from state and federal income taxes, and are sometimes referred to as 501(c)3 organizations. 501(c)3 refers to the Internal Revenue Service (IRS) tax-exempt code.

Q: What is the difference between a corporation and an LLC?

Corporations and LLCs (limited liability companies) are similar in that they are both incorporated businesses. A corporation, however, is more formal and requires more oversight, compliance, and structure. An LLC is more flexible in structure and requirements.

Q: I am considering starting a business. What are some things I should consider?

Before starting your own business, there are definitely some important things to consider. At Wham & Rogers, we recommend entrepreneurs consider the following:

• What is the mission/purpose of your business?
• What type of business entity is right for you
• Will you hire employees; and if so, how many? 
• Explore state and federal tax liabilities
• When do you plan to open your business?
• Do you have a business plan?
• Where are you getting your capital?
• Do you need a storefront, warehouse, or equipment?

Q: Do I need to hire a lawyer to start a business?

There is no requirement that you have a lawyer represent you when you start a business. However, starting a business, and then operating it, is a major responsible and there are risks. Working with a lawyer as you start your business can help identify and mitigate risks, ensure that you have considered all possible obstacles, and provide peace of mind that you are starting your business on the right legal footing.  

Q: What can I do to minimize risk for my small business?

Starting a small business does have some risk involved. Often, entrepreneurs are using their own money to get started, and they frequently are not well versed in potential perils that may arise. Working with a business lawyer is the best way to minimize risk as you start and operate your small business. Together, we can mitigate risk by doing the following:

• Choosing the ideal business structure
• Obtaining appropriate insurance
• Obtaining necessary licenses and permits
• Following best practices for hiring employees or contractors
• Drafting thorough contracts
• Ensuring compliance with applicable state and federal laws

Q: What does it mean to “pierce the corporate veil?”

Piercing the corporate veil refers to a court allowing plaintiffs and creditors in a business dispute to receive compensation from corporate directors, officers, or shareholders for damages. Generally, recovery is limited to corporate assets. 

Contact our Business Lawyers in The Woodlands

The questions discussed above are certainly not the only ones our business lawyers in The Woodlands are asked. These are, however, among the most common. At Wham & Rogers, our goal is to provide high-quality, comprehensive legal guidance to business owners throughout the Greater Houston area. If you have questions about starting or operating a business, contact us to find out how we can help.

Our team of attorneys have helped numerous business owners protect their rights and business interests against even the most complex legal challenges. Find out more by calling Wham & Rogers at (832) 592-1108, or by completing the form on our website.