top of page

Protect Your Business from Lawsuits—5 Legal Mistakes That Could Cost You Everything

Writer: Brinkley LawBrinkley Law

Starting or running a business? One lawsuit could wipe out everything you’ve built.

Many business owners make costly legal mistakes without even realizing it—until it’s too late.


Here’s how to protect yourself before disaster strikes.


Mistake #1: Not Having the Right Business Structure


Did you know? If you operate as a sole proprietorship, your personal assets are at risk if your business is sued.


The solution? Forming an LLC or corporation can protect your personal finances from business liabilities.


✔ LLC: Protects personal assets while keeping taxes simple

✔ S-Corp: Offers tax advantages for growing businesses

✔ C-Corp: Best for large companies with investors


Not sure which one is right for you? A business lawyer can help.


Mistake #2: Not Having Ironclad Contracts


A handshake agreement won’t hold up in court. If you work with clients, employees, or vendors without a solid contract, you’re taking a huge risk.


Your contracts should clearly outline:

✔ Payment terms & deadlines

✔ Work expectations & deliverables

✔ What happens if something goes wrong


A business lawyer can draft strong contracts that protect you from lawsuits.


Mistake #3: Not Following Employment Laws


Hiring employees? You need to follow state and federal employment laws to avoid lawsuits for:

❌ Wrongful termination

❌ Discrimination or harassment claims

❌ Wage and hour violations


A business lawyer can help ensure your policies are legally compliant.

Protect Your Business—Call a Lawyer Today


At Brinkley Law, we help business owners stay legally protected so they can focus on growth.


📞 Call now for a consultation: 317-766-1379


🚨 One legal mistake could cost you everything. Let’s make sure you’re covered.

 
 

Comments


bottom of page