Why You Need a Business Plan That Includes Legal Protections

Protect Your Business Before Problems Arise

Starting or growing a business in Tennessee is an exciting venture. You’ve got the vision, the strategy, and maybe even the funding—but do you have the legal protections your business needs to thrive and survive the unexpected?

Too often, entrepreneurs and small business owners overlook the legal side of business planning until it’s too late. At Ufford Law & Mediation, we help businesses lay strong legal foundations to prevent disputes, protect assets, and support long-term success.

Here’s why legal planning should be a core part of your business strategy—and how we can help.

Why Legal Protections Belong in Your Business Plan

Legal issues can arise at any stage of business, from formation to day-to-day operations to eventual exit strategies. Including legal protections in your business plan is not just smart—it’s essential.

1. Choose the Right Business Structure

Your business structure affects everything from taxes to liability. Common types include:

• Sole proprietorship

• Partnership

• Limited Liability Company (LLC)

• Corporation (C-Corp or S-Corp)

  
  

Each structure has different legal and tax implications. Choosing the right one can protect your personal assets, reduce liability, and set your business up for success from day one.

2. Protect Your Personal Assets

If your business is sued or falls into debt, your personal savings, property, and investments could be at risk—unless you’ve taken legal steps to separate personal and business liability.

An LLC or corporation can help shield your personal assets. But simply forming an LLC isn’t enough. You need to properly maintain it with clear operating agreements, regular filings, and good business practices.

3. Clarify Ownership and Roles

If you’re going into business with partners or investors, it’s crucial to outline:

• Ownership percentages

• Decision-making power

• Roles and responsibilities

• What happens if someone exits or passes away

  
  

Operating agreements, partnership agreements, and shareholder agreements prevent disputes and protect the business if conflicts arise. These crucial documents can be highly complex to draft and execute, but Ufford Law & Mediation Offices is here to help you implement the right plan.

4. Protect Intellectual Property

Your brand is one of your most valuable assets. Don’t risk losing it. Your business plan should include a strategy for protecting:

• Trademarks (business name, logo, slogan)

• Copyrights (original content, designs, software)

• Trade secrets (recipes, client lists, internal processes)

  
  

Registering your intellectual property early helps prevent theft or infringement. Ufford Law & Mediation Offices is here to guide you in the right direction.

5. Have Solid Contracts in Place

Every relationship your business has—clients, vendors, employees—should be backed by legally sound contracts. Clear contracts:

• Set expectations

• Outline payment terms

• Define dispute resolution procedures

• Limit liability

• Protect confidentiality

  
  

A verbal agreement or generic contract template could leave your business exposed. Custom contracts aligned with your operations offer better protection. Contact Ufford Law & Mediation Offices for expert legal advice to solidify the right contract for your business.

6. Comply With Employment and Labor Laws

If you have employees, your business plan should account for:

• Hiring and onboarding procedures

• Wage and hour compliance

• Employee handbooks and policies

• Termination and severance protocols

• Non-compete or non-solicitation agreements

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Failure to follow state and federal labor laws can lead to costly lawsuits or government penalties. Do not go it alone. Let Ufford Law & Mediation Offices help you stay in compliance and avoid pitfalls.

7. Plan for Conflict Resolution

Even well-run businesses encounter disputes. Your business plan should outline how you’ll handle:

• Contract disputes

• Employee issues

• Partnership disagreements

  
  

Options include litigation, arbitration, or mediation—a cost-effective, private alternative that we offer at Ufford Law & Mediation Offices.

The Cost of Ignoring Legal Planning

Too many businesses wait until something goes wrong before consulting an attorney. By then, the damage can be costly—or irreversible.

Common consequences of poor legal planning include:

• Lawsuits and court costs

• Broken partnerships

• Intellectual property theft

• IRS penalties

• Dissolution of the business

  
  

Legal protections aren’t just about avoiding lawsuits—they help you operate with confidence, attract investors, build credibility, and grow your business securely.

Why Work With Ufford Law & Mediation Offices?

We work with entrepreneurs, business owners, and startups across Tennessee to:

• Choose and form the right legal entity

• Draft and review contracts

• Create customized partnership or operating agreements

• Protect intellectual property

• Resolve internal disputes through mediation or litigation

• Ensure regulatory compliance

  
  

As a firm that handles both business planning and dispute resolution, we don’t just help you build a business—we help you protect it at every stage.

Ready to Protect Your Business the Right Way?

If you’re starting a business or scaling an existing one, don’t wait until you’re in legal trouble to get help. A solid business plan with built-in legal protections will give you peace of mind and a stronger future.

Contact Ufford Law & Mediation Offices today for a consultation. We’ll review your goals and help you build a business that’s smart, secure, and built to last.

Fill out our consultation form now to take the first step.