Growth Strategies

Prepaid Legal Services

Have an attorney at your disposal--and save on legal expenses--with prepaid legal services.
2 min read
Opinions expressed by Entrepreneur contributors are their own.

Tired of skyrocketing legal fees? You do have another option--prepaid legal plans.

Prepaid legal plans have been compared to HMOs because they offer certain basic services for a monthly fee. Prices range from as little as $10 a month to $70 or more; in return, an entrepreneur gets a package of services such as, say, unlimited phone consultation with a lawyer, review of three contracts per month, up to 10 debt collections per month and discounts on other legal services.

Typically, prepaid legal services contract with one law firm in each state to handle routine matters. Because the service is usually that firm's biggest client, small-business owners using the service receive a warmer welcome than they might at a big law firm. Specialists are usually available at reduced rates.

When considering a prepaid legal service, here are some factors to consider:

  • What is included? Check the plan to make sure they've got what you need. The number of services offered at a reduced rate may be limited; what do they charge for other services?
  • Consider whether you'd prefer to build a relationship with one attorney rather than talk to a different lawyer every time you call.
  • Ask other entrepreneurs who have used such services about the quality of work. Also ask how the company handles conflicts of interest in case you have a dispute against a business that uses the same prepaid firm.

With these caveats in mind, a prepaid legal service firm could be just what a business on a budget needs. For more information, contact the American Prepaid Legal Services Institute.

This article is excerpted from Start Your Own Business: The Only Start-Up Book You'll Ever Needby Rieva Lesonsky and the Staff of Entrepreneur magazine

More from Entrepreneur

Kim's expertise can help you become a strong leader, pitch VCs for capital, and develop a growth strategy.
Book Your Session

In as little as seven months, the Entrepreneur Authors program will turn your ideas and expertise into a professionally presented book.
Apply Now

Are paying too much for business insurance? Do you have critical gaps in your coverage? Trust Entrepreneur to help you find out.
Get Your Quote Now

Latest on Entrepreneur

My Queue

There are no Videos in your queue.

Click on the Add to next to any video to save to your queue.

There are no Articles in your queue.

Click on the Add to next to any article to save to your queue.

There are no Podcasts in your queue.

Click on the Add to next to any podcast episode to save to your queue.

You're not following any authors.

Click the Follow button on any author page to keep up with the latest content from your favorite authors.