A Lack of Protected Assets Could Lead America’s Failed Startup Train
Many entrepreneurs focus all of their energy and planning on their product lines or services, jumping headlong into their businesses. No matter the success of your service or product, your business might fail if you don’t protect the intellectual property of the business or set up the correct entity structure. Owners of new startups need to address the legal issues that could potentially impact their businesses. With the right asset protection and legal structures in place, many businesses have the potential to thrive.
An Overview of Asset Protection
Asset protection involves analyzing the needs of individual business’ and then choosing the suite of protection tools that can help protect business assets and the owner from creditors, taxes, and lawsuits. In addition to a strong business structure and intellectual property protection, other important tools include proper insurance coverage and data protection to protect against cyber-security threats and thefts of customer information and shareholder agreements, among others. With the right tools in place, you will be able to have peace of mind so that you can concentrate on growing your business into a successful venture.
Business Risks and Correct Business Formation
Choosing the correct legal structure for your business early on helps you to start on the path to financial success. The type of structure that you choose should depend on the type of business you have, whether you have partners and other assorted factors. When you meet with your asset protection professional, he or she will review your business plan in order to recommend the most appropriate structure that meets your needs.
Unfortunately, many people in today’s society sue businesses in an attempt to win easy money. If the business is not adequately protected, the plaintiffs’ attorneys can reach past the business itself in order to seize your personal assets to satisfy any judgments or settlements their clients might obtain. When several partners are involved in your business, both your assets and those of your business can also be at risk if one partner leaves or a dispute arises. While a solid entity structure provides you and your business with a level of important protection, you should take further asset protection steps. In some cases, savvy attorneys use their legal skills and knowledge in order to pierce the corporate veil, allowing them to still recover judgments from your assets. Asset protection professionals work closely with their clients to determine the additional strategies that best protect you and your business.
Asset Protection and Intellectual Property
Patents, copyrights, and trademarks protect a business’s intellectual property. As the lifeblood of a business, intellectual property deserves appropriate protection. Unfortunately, many business owners fail to obtain the patents, copyrights and trademarks they need until another company steps in and steals the inventions or ideas that form the basis for the business’s primary revenue streams. When you work with a professional, he or she will help you determine what type of intellectual property protection your business needs so that you can submit the correct materials.
Jackson Cooper is a investment & finance enthusiast, involved with the experts at American Society For Asset Protection. Look to American Society For Asset Protection, true leaders in the professional asset protection industry, to properly guard your assets from lawsuit & litigation. Connect with them online on Facebook — American Society For Asset Protection or LinkedIn. Learn More On The ASAP YouTube Channel