Hiring a Business Lawyer: 7 Things to Consider for SMEs

 

Hiring a lawyer might feel like something only large corporations worry about. But if you’re running a small or mid-sized business, having the right legal support can make a major difference. Whether you’re just starting out or already managing a growing team, legal guidance is not just helpful, it’s essential.

Getting the wrong lawyer—or none at all—can lead to legal mistakes, missed opportunities, or worse, major financial consequences. So before you start Googling names or asking around for recommendations, it’s worth knowing exactly what to look for.

Here are seven key things to keep in mind when hiring a business lawyer as an SME.

1. Industry Experience

Not all business lawyers are the same. One may have spent decades working with retail companies, while another focuses on manufacturing or tech. You want someone who understands the context you’re operating in, not just someone who’s “done a bit of everything.”

An experienced business lawyer will already know the common contracts, disputes, and compliance issues relevant to your type of business. This saves you time and helps prevent basic mistakes.

They should also be aware of your industry’s typical risks and legal standards. For example, an SME dealing with international clients will need help navigating cross-border agreements and payment regulations. A local service provider? Probably not.

2. Clear Communication

Legal jargon can be confusing. A good lawyer knows how to break things down in a way that makes sense without talking down to you. You should never leave a meeting or call unsure of what was just discussed.

Watch for signs of clear communication early on. Do they answer your questions directly? Are they transparent about costs, processes, and timelines? If you feel like you’re getting vague answers or dodged questions, that’s a red flag.

A lawyer is there to help you make smart decisions, not to leave you second-guessing everything they say.

3. Fee Structure and Transparency

For small and mid-sized businesses, legal fees can feel overwhelming. That’s why clarity around costs is so important. Before committing, make sure you understand exactly how you’ll be billed and for what.

There are typically a few types of fee structures:

• Hourly rate – You’re billed for every hour or portion of an hour worked.
• Flat fee – One set price for a specific service or package.
• Retainer – You pay an upfront amount to have access to ongoing legal support.
• Contingency – The lawyer takes a percentage only if you win a case (less common for business law).

Each comes with pros and cons. What matters most is that it fits your business budget and you know what to expect. Surprises here are never good.

4. Responsiveness

Legal issues don’t always wait until it’s convenient. Whether it’s a sudden dispute, contract deadline, or compliance problem, timing can be everything.

Pay attention to how responsive a lawyer or their team is during your initial interactions. Do they return calls and emails promptly? Are they proactive about following up?

If you struggle to get a reply during the early stages, it’s unlikely things will improve after you sign on. As an SME business owner, you need a lawyer who can move quickly when needed and doesn’t leave you in the dark.

5. Familiarity With Local Laws and Regulations

Even if your business operates online or across regions, local rules still matter. From zoning laws and local tax requirements to employment standards and licensing, these regulations can affect daily operations in ways that aren’t always obvious.

Choose a lawyer who understands the legal landscape where your business is based. They should be familiar with both federal and state laws, and how they interact.

This becomes even more important if you plan to expand, open a physical location, or hire employees across different areas. Local compliance issues can lead to costly fines or restrictions if they’re not managed properly from the start.

6. Long-Term Fit

You might only need help with one issue now—like forming an LLC or reviewing a contract—but chances are, more legal needs will pop up as your business grows. Choosing someone who can grow with you is smart planning.

Look for a lawyer who offers a broad enough range of services to support you down the line. This could include:

• Employment law – For hiring, firing, and workplace policies
• Intellectual property – For protecting your brand and content
• Commercial contracts – For vendors, partners, or clients
• Dispute resolution – For managing conflicts without always going to court
• Compliance and risk management – To keep your operations above board

Think of it like choosing a long-term business partner. You want someone who gets where your company is headed and has the skills to help you get there legally and safely.

7. Comfort and Trust

Finally, don’t overlook the human factor. You need to feel comfortable speaking honestly with your lawyer, especially about challenges or uncertainties. Trust is non-negotiable.

If you feel talked down to, rushed, or misunderstood, it’s probably not the right fit. You’ll be sharing sensitive information, relying on their advice, and trusting them to represent your best interests. That relationship only works when there’s genuine rapport.

Take time to meet or speak with a few options before deciding. Ask questions, trust your instincts, and don’t rush the process.

Make the Right Call for Your Business

Hiring a lawyer isn’t just about avoiding lawsuits. It’s about building a strong legal foundation for your business so that you can grow without unnecessary risks.

For SMEs, this means thinking ahead, asking the right questions, and working with someone who truly understands what you need. You don’t need the biggest firm or the flashiest credentials. You need someone reliable, experienced, and aligned with your goals.

Choose wisely, and the legal side of your business becomes a source of confidence, not confusion.