Transactional lawyers provide legal guidance on a variety of financial matters, both for businesses and individuals. Companies often hire transactional lawyers for assistance with business transactions like mergers, sales, and acquisitions. Some transactional lawyers also work with individuals on complex financial matters, such as estate planning and tax guidance. If you are a business or individual in need of a transactional lawyer, consider contacting a San Francisco transactional lawyer at Von Rock Law by calling (866) 720-0195 to schedule a consultation.
What Is a Transactional Lawyer?
Transactional law is a broad legal field, and transactional lawyers work in several different practice areas. All of these practice areas focus on financial matters. While the practice fields may vary, transactional lawyers generally help their clients conduct business transactions. The clients are often major companies, but transactional lawyers also provide services to small businesses and individuals. Many transactional lawyers work at law firms, but they can also be hired as in-house attorneys for corporations, nonprofits, and governments.
According to the American Bar Association, the typical job duties of transactional lawyers include:
- Drafting business deals
- Negotiating with counterparties in business deals, both in person and over the phone
- Providing legal guidance on corporate governance concerns
- Forming business entities (LLCs, corporations, etc.)
- Filing legal paperwork
- Conducting research for due diligence
- Managing business transactions
- Working with clients and counterparties to draft transactional documents
How Do Transactional Lawyers Help Businesses?
Running a business involves a wide range of legal complexities, which often require legal guidance. Transactional lawyers who work with businesses—or simply business lawyers—advise their clients on the various legal aspects involved in running a successful business. Beyond the previously listed job duties of transactional lawyers, a business lawyer can provide the following benefits to his or her clients:
- Add credibility to legal documents, negotiations, and court proceedings, which is especially key for first-time business owners
- Prevent legal issues with business transaction deals
- Provide legal guidance on business income taxes
- Reduce costs by preventing litigation
- Increase long-term profits through business deals
How a Transactional Lawyer Can Help With Estate Planning
Estate planning involves several types of transactions, all of which a transactional lawyer can help complete. The services of a transactional lawyer can be especially valuable when business owners establish their estate plans. Transactional lawyers can provide assistance to anyone who wants to create or update an estate plan. If you are planning to create or update an estate plan, a transactional estate planning lawyer from Von Rock Law may be able to help.
Estate planning components that a transactional lawyer can help with include:
- Creating or updating a Last Will and Testament (will)
- Creating and updating living wills
- Setting up various types of trusts, including irrevocable trusts, revocable trusts, and living trusts
- Establishing power of attorney for medical and financial decisions
- Drafting a plan for how a business will be distributed
Legal Guidance in Contract Negotiations
Businesses often hire transactional lawyers to oversee contracts, business agreements, or any other financial deal that involves a contract. A lawyer can ensure that agreements are fair before the parties go through with major transactions. Transactional lawyers also assist with internal contracts for businesses, such as employee contracts.
In addition, transactional lawyers can offer legal guidance on contracts outside the business world. They assist clients with a variety of personal contracts, including tenant agreements for both commercial and residential real estate.
Transactional tax lawyers counsel their clients on several tax matters related to major business transactions, such as mergers and acquisitions. Some of the specific forms of tax guidance offered by transactional attorneys include:
- Lessening tax burdens through the structure of business entities and transactions
- Representing businesses facing IRS audits and other tax problems
- Ensuring that clients are aligned with both federal and state tax laws
- Walking through mergers, acquisitions, and dispositions
- Assisting with private equity transactions
- Setting up partnerships and joint ventures
- Handling bankruptcies and insolvencies
- Restructuring the company
- Filing taxes for stock options and other capital market transactions
- Claiming renewable energy tax credits
Transactional Lawyers vs. Litigators
Lawyers generally fall into one of two categories: transactional lawyers and litigators. Transactional lawyers provide legal guidance on business transactions, deals, and contracts. Litigators, also known as advocates, generally handle criminal cases or civil court litigations, which can arise during legal business disputes. Utilizing the services of an established transactional lawyer may reduce a business’s risk of being sued. However, in the event litigation is required, the company owner may wish to retain an experienced litigation attorney.
Transactional lawyers may also provide legal guidance during litigation. A transactional lawyer would have detailed records for the business transactions in dispute and may be able to provide evidence in favor of the client. Transactional lawyers can work together with litigators during litigation.
Necessary Skills for Transaction Lawyers
According to the American Bar Association, transactional lawyers require a diverse skill set to meet the needs of their clients. Businesses and individuals who are considering hiring a transactional lawyer should look for attorneys with the following skills:
- A deep understanding of federal and state taxes
- Project management skills
- Analytical skills
- Oral and written communication
- Drafting skills
- Attention to detail
- Business administration
- Client relation skills
- Accounting skills
Contact Von Rock Law To Learn More
There are a variety of reasons why businesses and individuals may need a transactional lawyer. A sound strategy for major business transactions like mergers, acquisitions, and company restructuring can be a deciding factor in whether a business succeeds in the long term. For individuals, transactional attorneys can ensure that their clients’ wishes are fulfilled and that their families are able to inherit assets through careful estate planning strategies. If you believe that your business or personal needs would benefit from a transactional lawyer, consider contacting the experienced California business attorneys at Von Rock Law today at (866) 720-0195 to schedule a consultation.