Starting a new business is one of the most exciting and challenging endeavors you can undertake. As an entrepreneur in San Antonio, you’re focused on your vision, your product, and your customers. But amidst the excitement, it’s crucial to lay a solid legal foundation to protect your hard work.

Many founders ask, “When should I hire a business attorney?” The answer is almost always: as early as possible. The right time is when you are making foundational decisions about your business structure, raising funds, or hiring your first employees. Waiting until a legal problem arises means you are already on defense, and the solution is almost always more costly and disruptive.

This guide provides a two-part roadmap. First, we’ll cover the critical questions you should be asking about your business to understand your legal needs. Second, we’ll cover the questions to ask your potential lawyer to ensure you find the right partner for your venture.

Part 1: Your Legal Roadmap (5 Questions to Ask About Your Business)

Before you can effectively hire an attorney, you need to understand the legal “hot spots” in your own business. A good counselor will help you think through these.

1. What Business Structure is Right for Me in Texas (LLC, S-Corp, or Corporation)?

This is the most critical question every founder must answer. The entity you choose—whether a sole proprietorship, partnership, LLC, or corporation—will have massive implications for your personal liability, your tax obligations, and your ability to raise money.

For example, an LLC (Limited Liability Company) is a popular choice for Texas entrepreneurs as it combines liability protection with pass-through taxation. However, an S-Corporation election might be more beneficial for tax purposes under certain conditions. This is a foundational decision that a Texas LLC formation expert can help you navigate.

2. How Do I Protect My Personal Assets from Business Liability?

One of the primary reasons to form a business entity is to create a “corporate veil” that separates your personal assets (like your house and car) from your business debts and liabilities.

But just forming an LLC isn’t enough. You must also maintain that veil by keeping clean records, avoiding co-mingling funds, and following corporate formalities. This is a key component of a comprehensive Asset Protection strategy.

3. What Core Contracts Does My Startup Need to Be Safe?

Contracts are the backbone of your business; they define your relationships with partners, clients, and vendors. A well-written contract reduces disputes and ensures you get paid. Key contracts you will likely need include:

  • For Multi-Owner Businesses: An Operating Agreement (for LLCs) or Bylaws (for corporations). This is your internal “rulebook” that details how decisions are made, how profits are split, and what happens if an owner wants to leave.
  • For Clients: A Client Service Agreement or Master Services Agreement.
  • For Confidentiality: A Nondisclosure Agreement (NDA) to protect your sensitive information when talking to partners or vendors.

Relying on a template you find online is a massive risk. A business contracts attorney can create documents tailored to your specific needs.

4. How Do I Legally Hire Employees or Independent Contractors in Texas?

Hiring your first team member is a major step, but it’s fraught with legal risk. You must comply with all federal and state employment laws, from wage and hour rules to anti-discrimination laws. One of the biggest risks is misclassifying an employee as an “independent contractor” to avoid paying payroll taxes, which can result in massive fines and penalties.

5. How Do I Protect My Intellectual Property (Name, Brand, and Trade Secrets)?

Your intellectual property (IP) is often your company’s most valuable asset. This includes:

  • Trademarks: Your business name, logo, and slogans.
  • Copyrights: Your website content, software code, or marketing materials.
  • Trade Secrets: Your “secret sauce”—proprietary information like customer lists, formulas, or internal processes that give you a competitive edge.

A business attorney can help you register trademarks and copyrights and, just as importantly, implement internal policies and agreements (like NDAs) to protect your trade secrets.

Part 2: Vetting Your Counsel (5 Questions to Ask Your Potential Attorney)

Once you have a grasp of your own legal needs, you’ll be prepared to find the right lawyer. Here are the key questions to ask them.

6. What is your specific experience with [My Industry] in the San Antonio market?

This is a much better question than “Are you a specialist?”. You want an attorney who understands the specific challenges and opportunities of your industry in your location. A lawyer who has represented other San Antonio-based tech startups, real estate developers, or medical practices will already know the landscape and provide more valuable, “business-savvy” advice.

7. Who Will Be My Primary Point of Contact and Doing the Work?

This is a vital question, especially at larger firms. You may have an initial consultation with a senior partner, but will your file be handed off to a junior associate?. You need to know who you will be communicating with day-to-day and their level of experience.

8. What is Your Fee Structure, and How Do You Ensure Transparency?

Don’t be afraid to talk about money. Attorneys use various billing models: hourly, flat-fee, or even monthly retainers. The rate is less important than transparency and predictability. Ask them how they keep clients updated on costs to avoid surprise bills. A modern law firm should be able to provide clear fee transparency from the start.

9. Have you handled a transaction or problem just like this before?

This is the most direct way to evaluate “Previous Experience”. You don’t want to pay for your lawyer to learn on your case. Ask for a specific example of a similar transaction, contract, or dispute they have managed. For instance, an attorney with experience as a startup General Counsel will have hands-on, frontline experience in negotiating deals and managing risk that a purely academic lawyer may lack.

10. How do you act as a “Counselor” and not just a “Lawyer”?

This final question gets to the heart of the relationship and combines “Education,” “Previous Clients,” and “Business Sense”. A “lawyer” just tells you what the law is. A “counselor” understands your business goals and helps you navigate the law to achieve them. You are looking for a long-term strategic partner, not just a document drafter.

Get Answers for Your San Antonio Business

You don’t need to navigate the San Antonio startup landscape alone. At the Law Offices of Ryan Reiffert, we combine the deep legal knowledge from training at the world’s largest firms with the practical, business-sensible partnership of a former tech startup General Counsel. We’ve built this firm to be the resource we wanted when we were building our own businesses.

Contact us today for a consultation to get answers to your specific questions and build a solid foundation for your venture. Or, learn more about our startups and small business services.