Legal support for businesses: what it covers, and when it costs less than the alternative
Most businesses call a lawyer once there is already a problem. Ongoing legal support works the other way round: it catches the problem while it is still a clause in a contract rather than a claim. This page explains what that support covers, how it is priced, and how it differs from one off advice.
“The question is not what ongoing counsel costs, but what the clause nobody checked costs.”
Adv. Erez Sapir
What ongoing legal support is
Ongoing legal support is not a series of meetings. It is a lawyer present at the decision points of the business: before signing a material contract, before a partner or investor comes in, before hiring a senior employee, before a change of structure, and before any commitment the business cannot easily exit.
The difference between support and one off advice is not scope but timing. One off advice arrives after the question has been asked, and usually after the other side has drafted the document. Ongoing support is in the room beforehand, while it is still possible to decide what the document will look like.
That gap is almost always an economic one. An hour of drafting in advance costs an order of magnitude less than a proceeding conducted afterwards around a clause nobody wrote.
Support by stage of the business
Before formation. Choosing the structure: sole trader, partnership, limited company or non profit association. The choice affects personal liability, taxation, running costs and the ability to raise money. See choosing a business structure.
At formation. Registering the entity, drafting articles and a founders or partnership agreement, securing ownership of intellectual property, and the first engagements.
In growth. Supplier and customer contracts, employment agreements, confidentiality agreements, incoming investors, and adapting the governance structure to the new size.
In change or crisis. A dispute between owners, cash flow difficulty, sale of the business or an orderly closure. Here acting early matters: the tools available at an early stage are far wider.
What it covers in practice
Contracts. Drafting and reviewing supplier, customer, distribution, agency and franchise agreements. A focused review of a contract the other side drafted is worth more than a general read of it.
Structure and ownership. Articles, shareholders agreement, allotments, entry and exit of partners.
Employment. Employment agreements, confidentiality and non compete clauses, termination, and the distinction between an employee and an independent contractor.
Regulation and licensing. Licensing duties applicable to the field, and in particular business licensing.
Collection and credit risk. Payment terms, security, personal guarantees and collection.
Transactions. Buying or selling a business, due diligence and investment agreements.
When to call, and when it is late
There are moments where an early call changes the outcome, and once they pass what remains is damage control. The main ones:
Before signing, not after. A signed contract is a far worse starting position than a draft.
Before you start working together. A partnership arises from conduct, not only from a document. See registered and unregistered partnerships.
The moment a warning sign appears with a customer. A deferred payment, a change in ordering pattern, a request to reschedule debt. These are a short window in which security can still be obtained.
Before transferring an asset or splitting activity. Transfers made close to difficulty are examined afterwards in a different light.
Before dismissing an employee. The decision can almost always be implemented more soundly if it is planned in advance.
Engagement and pricing models
Monthly retainer. A fixed volume of hours or type of activity for a monthly fee. Suits a business with a steady flow of contracts and questions. Its real advantage is not the price but that it removes the psychological barrier to the short call that prevents a mistake.
Hourly. Suits irregular activity. Simple and transparent, but it encourages postponing short calls, which is exactly what you do not want.
Fixed price per project. For a defined drafting task, a due diligence exercise or setting up a structure. Full certainty on cost, and it requires precise scoping in advance.
A combination. The most common in practice: a basic retainer for the ongoing work and separate pricing for exceptional projects.
Choosing a lawyer for your business
Fit to field and size. A firm used to very large transactions does not necessarily serve a ten person business well, and the reverse.
Genuine availability. Support is worth something only if you can reach it on the day the client wants to sign tomorrow.
Breadth. A business is not divided into practice areas. A question that starts in a contract runs into tax, employment and sometimes regulation. A firm covering the breadth saves you the coordination.
Transparent pricing. A written fee agreement defining what is included and what is billed separately.
Commercial understanding. An answer that is simply not allowed is usually a lazy answer. The good answer sets out the risk and the way to manage it.
How we work
The commercial law department at Mor and Co. supports businesses from formation through restructuring or closure. We start by mapping: how ownership is structured, which contracts bind the business today, where the personal exposure sits, and what is missing. The map produces a list of priorities rather than a wish list.
The work draws on the other departments of the firm where needed, in employment, real estate and enforcement, so an issue crossing practice areas does not require you to coordinate between several providers.
The firm holds ISO 9001 certification, which has one practical meaning for a business client: documented work processes and orderly tracking of deadlines.
Contact
The head of department is Adv. Erez Sapir. For an introductory conversation and an initial mapping: 02-5953322 in Jerusalem, 03-3030430 in Tel Aviv, WhatsApp 050-4411343.
Frequently asked questions about legal support for businesses
What is the difference between ongoing support and one off advice?
At what size does a business need ongoing support?
What does legal support for a business cost?
Does my lawyer need to specialise in my industry?
When is it too late to call?
Do you support small businesses and sole traders?
All department pages
Business support, incorporation and licensing · Partnerships and non-profits · Shareholders and corporate governance
Legal support for businessesChoosing a business structureSetting up a limited companyBusiness licensingRegistered and unregistered partnershipsPartnership agreementRegistering a non-profitCorporate governancePersonal liability of officersShareholder rights and dutiesMinority shareholder oppressionPiercing the corporate veilThe agency problemPoison pill provisionsContracts and transactions · Liquidation, insolvency and debt collection
Non-disclosure agreementAgency agreementFranchise agreementRaising capital with a SAFEDue diligence before a purchaseVoluntary liquidation of a companyExpedited voluntary liquidationLiquidating an insolvent companyClawing back gifts in insolvencyDebt collection and creditor representationPersonal guaranteesWant to know where your business is exposed today?
Tell us how ownership is structured and which contracts bind you. We will return a short map of the exposure and a list of priorities.