Library of Congress Cataloging-in-Publication Data
Names: Bagla, Kelly, author.
Title: Go legal yourself! : know your business legal lifecycle / Kelly Bagla.
Description: 2nd edition. | Hoboken : Wiley, [2021] | Includes index.
Identifiers: LCCN 2020051119 (print) | LCCN 2020051120 (ebook) | ISBN 9781119745549 (hardback) | ISBN 9781119745563 (adobe pdf) | ISBN 9781119745556 (epub)
Subjects: LCSH: Small business—Law and legislation—United States.
Classification: LCC KF1659 .B34 2021 (print) | LCC KF1659 (ebook) | DDC 658.1/20973—dc23
LC record available at https://lccn.loc.gov/2020051119
LC ebook record available at https://lccn.loc.gov/2020051120
Cover Design and Art By: Kate Brand Design
They say 2020 is the year of the woman. I dedicate this book to two women who have taught me that every year is the year of the woman.
My dedications go to my loving sister-in-law, Surinder Bagla, who taught me how to love the English language, and to my loving mother-in-law, Judy Calamungi, who taught me how to love the simple things in life.
Your love and support have forever changed my life!
Foreword
If this book existed when I started my entrepreneurial career over 40 years ago when I began importing the first sheepskin boots into America, it would have saved me a lot of trouble.
The common thing all entrepreneurs share is the attitude, “I won't do that until I need it.”
Because the very nature of starting out on your own path implies you are limited in capital and all of your efforts are focused on product development, production, marketing, and deliveries, the last thing you want to do is spend money on legal fees, which can “wait until we need those services.”
I can still hear the words of my long-time lawyer: “Brian, why do you always come to me when you are in trouble? Why don't you run things by me before you start out?”
Robert Ringer wrote a hugely successful book, Winning through Intimidation, about how he kept getting left out of the deals he orchestrated in the real estate business, and the one line that resonated with me to the core was that “a DETAIL will always come back to haunt you.” I can't tell you how many times I had to “fix” a situation at great cost because, at the time, it didn't seem important to complete the legal documentation.
I still continue to get into new businesses and now the legal checklist is a standard part of getting organized, just as important as the product and marketing.
And this is where Kelly's book Go Legal Yourself® is such a great resource for every aspiring business builder. In addition to all the start-up issues, she gives you a glimpse of what you are going to need as you grow more successful. From a legal and documentation standpoint, you can be ahead of the issues and not spend a fortune in remedying things you overlooked.
Best wishes on your journey.
Brian Smith
UGG Founder, and author of The Birth of a Brand, a roadmap
for entrepreneurs
Preface
If you get a chance to read any basic literature about chess, the simplest definition you will find is that it is a game of strategy and tactics. The strategy consists of setting midterm positioning advantages, whereas tactics focus on immediate maneuvers during the game. I have always thought running a business is a lot like playing chess, so it is only fitting that my clients affectionally gave me the name “Queen of Business Law®.” In chess, unless you are looking a few moves ahead, you are doomed to fall into your opponent's trap. With each turn, you need to anticipate the moves that your opponent can make and the various options that you have. Similarly, in business, if you know the road ahead, you can anticipate industry changes or alteration in customer behavior, which will allow you to always be on the cutting edge. You can then build your business to outlast your competition and you can make the right moves, whether that's making a better mouse trap, growing your business, or choosing the right distribution channels.
As a business owner, I have firsthand knowledge of how hard it is to start a business, let alone make money at it. As an attorney, I also have firsthand knowledge as to what can go wrong with starting a business.
Are you running a business and confused about what you need to do in your business from a legal perspective?
Are you confused by the seeming never-ending list of legal considerations?
These are all issues that I have found to be common for all entrepreneurs. There is one thing that every entrepreneur and business owner has in common – we know the pains and heartaches of running a business, and if we're lucky, we can eventually become successful. But wouldn't it be nice to know from the inception of your business how to run it successfully?
Go Legal Yourself®, Know Your Business Legal Lifecycle® 2nd Edition is a guide for entrepreneurs and business owners that explains the four phases of a Business Legal Lifecycle®. Just like all individuals, we have a lifecycle, whereby we're born, we grow up, experience life, and eventually pass on. Unfortunately, we're not born with a road map, which would help us avoid the painful parts of life. Businesses also have a lifecycle but understanding the Business Legal Lifecycle® is the trick to running a successful business by knowing exactly where you are in your business so you can easily move from one phase to another, be it from Startup to Growth or from Established to Exit.
My four-phased Business Legal Lifecycle® was developed to help business owners understand the legal aspects of their business. This knowledge is important because you don't know what you don't know, and that's when costly mistakes happen. Every step in the Business Legal Lifecycle® requires you to take different actions and adjust your way of thinking. Throughout your Business Legal Lifecycle®, you will encounter challenges and have to make decisions that could affect the success and outcome of your business.
Paying attention to all aspects of your business is important for every business owner to ensure that you are legally compliant. The traditional answer to the question of when you need to pay attention to the legal aspects of your business is all the time. That advice is not wrong; however, business owners are often so busy in doing the work in their business that they don't have the time to work on their business.
You don't know what you don't know, the law is complicated, so I developed the Business Legal Lifecycle®, which is practical and easy to understand. In this book, I will go through the four phases of a business and why you need to take such steps to legally protect each phase of your business.
Enjoy the book.
Kelly Bagla, Esq.
A fellow entrepreneur
Business Legal Lifecycle®