The Key Mistakes Businesses Make Before Calling Their Lawyers

Usually, by the time a business owner is contacting their lawyers it’s because they are in legal trouble, after all, that’s what they’re there for. But at Glaisyers ETL, we know that consistent and anticipatory communication with your legal team is the first step in preventing legal troubles from arising in the first place – saving you time and money.

From common warning signs to practical steps you can take, we can reduce risk and increase compliance within your organisation, ensuring you don’t have to incur unnecessary costs and waste time on preventable legal issues. For tailored advice, contact Hannah Vachre, Partner in our Commercial Litigation team today.

Save Time and Money with Early Legal Input

Early legal input acts as a preventative measure, identifying risks before they fully arise. By engaging Glaisyers early, businesses can avoid costly litigation, prevent deals from falling through, and ensure compliance, which will often cost much less than fixing errors later. Prevention is better than cure.  

According to a report by the Legal Services Board that covered SMEs in England and Wales, roughly one in three small businesses experience at least one legal problem per year, with the average cost per incident being around £6,500. At Glaisyers ETL, our aim is to ensure your business avoids these consequences and stays one step ahead of trouble.  

Common Warning Signs to Look For

In the buildup to legal issues, there are several common signs that businesses should be aware of that can indicate legal trouble is on the horizon.  

• • Financial distress signals such as persistent cash flow shortages, a reliance on debt to pay operating expenses, or consistently delayed payments to creditors will often result in legal troubles if left unresolved.
  • Operational and management issues like unresolved or increasing customer complaints, a high employee turnover, or dependency on one or two key clients can mean that issues can easily be encountered.
  • Contractual warning signs such as relying on handshake agreements instead of formal contracts, overlooking changes in industry-specific laws, failing to register trademarks and patents, or ignoring ‘friendly’ warnings from clients when payments are late or services are sub-par.

At Glaisyers ETL, our expert team can spot the signs of upcoming legal troubles and explain the likely outcomes clearly and professionally, allowing you to make an informed decision that will be benefit your business.

Practical Steps to Reduce Risk

At Glaisyers ETL, we know exactly what steps your business needs to take to ensure compliance and avoid common legal pitfalls. The assurance that a competent legal team provides is the peace of mind that you can focus solely on growing your business, rather than worrying about barriers in the way. 

When growing your business, contracts that were put in place in a company’s early days can become no longer fit for purpose as expansion occurs and old templates, verbal agreements, or forgotten obligations can easily turn into expensive disputes. 

Employee contracts are another area that can easily cause legal issues if not handled correctly. It is imperative to ensure that every employee or contractor has clear job roles, confidentiality, and termination terms set out in their contract. Proper HR documentation protects both your team and your reputation, two things that become increasingly valuable as your business grows. 

Glaisyers ETL can assist with all these areas, allowing you to focus on growing your business, safe in the knowledge you are compliant and secure.

Don’t Leave it Too Late

Delaying legal input can prove to be costly for your business, with the financial implications possibly being drastic. 

Legal proceedings can cause a ripple effect throughout your whole business, if your valuable management time and money is being sent on legal proceedings, then often other areas of the business are neglected. Services can slow down, quality can drop, and clients can be forced to go elsewhere – further reducing profits.

Unsure whether your business is at risk? Contact Hannah Vachre, Partner in our Commercial Litigation team, today to understand your options and sense-check your position.