Tips for Starting Your Business in Iowa
Juice Magazine recently interviewed me for an article on how to start your own business. I offered the following tips to new business owners:
- Get agreements in writing up front, whether it's a few hundred dollars or larger.
- Small business centers are a good place for people to start. It's often a good place for people to go get some counseling.
- You should be very careful if you're going to go into business with partners. You should draft a buy-sell agreement that outlines how the business will be run, and what happens if one of them should die or want to leave the business. Whether it's family or friend.
I also thought Iowa intellectual property attorney Brett Trout offered some excellent advice by recommending that new business owners obtain a federal trademark for their business name or product. In this flat world it is more important than ever to protect your intellectual property. A federal registration is significant because it enables you to collect attorney's fees and treble damages under certain circumstances in a trademark infringement lawsuit.
I would add to this list that if you are going to buy (or sell) a business NEVER sign the contract documents prepared by a business broker. Pay the price for a lawyer to assist, and get an agreement signed that reflects the parties intentions and the deal. This is an area where you pay for advice now or maybe litigation later. (Litigation is a lot more expensive.) Be smart and get the necessary legal advice. Verbal side deals should never be relied upon - because they are either unenforceable or the parties remember them differently.
Gavin Craig
www.twincitiesbusinesslitigation.com