When you need a business lawyer, not just a template
Online incorporation services are fine for a single-shareholder, single-class corporation with no debt and no investors. Anything more complex (multiple founders, vesting, options, investors, family trusts, multiple share classes) needs a real lawyer. The cost of a bad share structure is paid years later in tax, litigation, or a failed financing.
Shareholder agreements, the unfunded insurance policy
A shareholder agreement is the document founders should sign before the first dollar of revenue. Drag-along on a sale, tag-along to prevent freeze-outs, ROFR or ROFO on transfers, vesting on equity, buy-sell triggers on death, disability, or divorce, valuation methodology, and dispute resolution. Most disputes between founders involve issues a properly drafted shareholder agreement would have prevented.
Buying or selling a business
Asset deal or share deal? Asset deals favour buyers (cleaner liability profile) but trigger more tax for sellers. Share deals favour sellers (capital gains treatment, including LCGE on QSBC shares for individuals) but require more aggressive reps, warranties, and indemnities. The choice of structure usually allocates millions in tax and risk. A business lawyer mapping the deal early prevents painful surprises.
Commercial leases, where the time bomb usually hides
Commercial leases are dense and aggressively landlord-favourable. Watch for: net cost reconciliation, restoration obligations on exit (often six figures), renewal terms with fair market rent reset, personal guarantees, exclusivity clauses, and rights of termination on relocation or redevelopment. Have a lawyer review every commercial lease, especially the first.
Costs and how business lawyers charge
Incorporations $1,000 to $2,500 plus government fees. Shareholder agreements $3,000 to $8,000. Standard commercial contracts $1,500 to $5,000. M&A deals run on hourly with retainers, with smaller transactions in the $25,000 to $75,000 range and middle-market deals well above. Many firms offer founder-friendly pricing on early-stage work.