Business Law FAQs

What type of businesses do you work with?

We work with startups, small businesses, and growing companies across many industries. Our clients range from first-time founders to established business owners preparing for expansion, restructuring, or a sale. Our practice focuses on transactional legal work such as business formation, contracts, ownership changes, and buying or selling businesses.

Do you handle lawsuits or business disputes?

Yes. While we encourage clients to use us to provide proactive legal services that prevent legal issues, we also represent clients when problems arise, such as disputes. Our goal is to help clients resolve these disputes without the need for expensive, stressful, and time consuming court intervention, however, if necessary, we do provide in-court representation.

When should I hire a business attorney?

A common misconception is that businesses should hire a lawyer when a problem arises. This can lead to hundreds of thousands of dollars in avoidable legal fees and liability. By working with a business attorney from the start, businesses can ensure they are properly protected. The most dangerous thing we see with businesses and their owners is that they don’t know what they don’t know, which can lead to major issues that threaten the businesses success. These are often easily prevented by engaging a business attorney early on. A business should begin working with a business attorney before the company is formed or as soon as possible thereafter.

When does it make sense to update or review my business documents?

As your business grows or changes, your legal documents should evolve with it. Common trigger points include bringing on a new partner, hiring your first employee or contractor, entering a significant contract (i,e., commercial lease), raising capital, or preparing to sell the business. Many business owners wait until something feels “off,” but proactive reviews often prevent costly issues and preserve flexibility. Glide Legal helps Arizona business owners review and update documents at key moments so their agreements continue to reflect how the business actually operates.

What contracts does my business actually need?

There is no one-size-fits-all answer. The contracts your business needs depend on how it operates, who you work with, and where risk actually exists. At Glide Legal, we help Arizona business owners identify the small set of agreements that truly matter for their business, rather than overwhelming them with unnecessary paperwork.

Using generic templates often leaves gaps that only show up later, such as unclear ownership rights, weak confidentiality protections, or one-sided obligations. Working with a business attorney ensures your contracts reflect how your business actually functions, protect your interests, and support your long-term goals. The right contracts create clarity and stability so you can focus on running and growing your business with confidence.

Why should my business contracts be reviewed before signing?

Many contracts contain terms that shift risk, limit rights, or create long-term obligations that are not obvious at first glance. Reviewing agreements before signing can help avoid hidden liabilities and ensure the contract aligns with your business goals, not just the other party’s interests.

Do I need a lawyer to form an LLC or corporation in Arizona?

Arizona does not require an attorney to file formation documents. However, many business owners choose legal guidance to ensure the entity is structured correctly, ownership interests, rights, and obligations are properly defined, and governing documents align with the business’s long term goals. Mistakes made at formation often surface later as major issues during growth, disputes, or a sale.

What is the difference between an LLC and a corporation?

An LLC is often more flexible for management and ownership and is commonly used by small and mid-sized businesses. It requires less legal formalities than a corporation, while still shielding the owners from personal liability for company obligations. Corporations are frequently chosen by businesses seeking a large number of unrelated outside investors or planning to scale aggressively. The right choice depends on factors such as ownership structure, future funding plans, and exit strategy.

What is an operating agreement, and do I need one for my Arizona LLC?

An operating agreement is an agreement between the owners of an LLC and the company on how the LLC is to be owned and managed and the rights and responsibilities of each owner. It addresses many important points such as voting rights, profit distribution, sales of interest, dissolution, capital contribution requirements, dilution, level of ownership, and each owners’ % interest.

Do I need an operating agreement if I have an LLC?

Arizona does not require an operating agreement, but having one is strongly recommended, especially for multi-member LLCs. Without a written and enforceable operating agreement, Arizona law requires that the Arizona Limited Liability Company Act will become your LLCs operating agreement. The problem with this is that the Arizona Limited Liability Company Act contains many provisions that will not be favorable for your business. For example, it requires that all owners receive an equal share of distribution of profits regardless of their percentage ownership. This can cause major issues for LLC owners.

How should my small business be structured in Arizona?

The right structure depends on your ownership setup, liability concerns, growth plans, and long-term goals. Most Arizona businesses choose an LLC or corporation, but the best option varies based on whether you plan to bring on partners, seek outside investment, or eventually sell the business. Choosing the right structure early helps avoid costly changes later.

I found business formation forms online. Why would I need a lawyer?

Online forms only handle basic filings. They do not account for how your business will actually operate, how decisions will be made, or what happens if ownership changes. Working with an attorney helps ensure your business is structured intentionally, not just filed correctly, and that your documents align with your real-world goals.

Can I create or update business agreements after my company is already formed?

In many cases, yes. Operating agreements, shareholder agreements, and other governing documents can often be created or updated after formation, provided the owners agree. It is generally easier and less expensive to make these updates before disagreements or major transactions arise.

What happens if business partners disagree and there is no agreement?

If there is no operating or shareholder agreement, Arizona law controls by default. These rules may lead to outcomes that do not reflect what the owners intended or believed they agreed to, and it is very expensive to sort these out. Clear written agreements help prevent confusion and protect relationships.

Can a business partner be bought out or removed?

Yes, but the process depends on the governing documents. Operating agreements and shareholder agreements often control buyout rights, valuation methods, and payment terms. Without these provisions, exits can become complicated and expensive.

Is it too late to create or update an operating or shareholder agreement?

In many cases, no. Agreements can often be created or amended after formation, provided all owners are willing to participate. It is generally easier and less costly to update agreements before significant conflict arises.

When should I involve an attorney when buying or selling a business?

Ideally, before signing a letter of intent or agreeing to deal terms. Early involvement allows legal counsel to help structure the transaction, identify risks, and protect leverage throughout negotiations.

What is the difference between an asset sale and a stock or interest sale?

An asset sale transfers specific assets and liabilities, while a stock or interest sale transfers ownership of the entire entity. Each structure affects risk allocation, liability exposure, and deal complexity. The right structure depends on the specific transaction and goals of the parties.

Why is legal due diligence important?

Due diligence helps uncover hidden liabilities, contracts, debts, and obligations that could impact the value of the deal or create exposure after closing. Many deal issues are discovered too late when due diligence is rushed or incomplete.

Do you offer flat fee pricing?

Yes. Many of our business services are offered on a flat fee basis, so clients know the cost upfront. Some matters are handled hourly depending on complexity, and we explain pricing and provide clear estimates before work begins so there are no surprises.

What happens during an initial consultation?

We discuss your business goals, review your situation at a high level, explain your options, and outline next steps. We use this initial consultation to prepare and provide you a quote, including scope of work, pricing, estimates, and promised turnaround time frames. It is also a great opportunity for you to learn more about our firm and how we operate.

Still have questions?

Contact us today to schedule a free case evaluation!

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