Finding attorney at the beginning

[heyporter]

So I know that Tom Hennessey recommends finding an attorney and accountant at the beginning that work in exchange for beer and brewery perks. I actually have a friend at another brewery that this worked out well for, but they are in a different state than me. Has this actually worked for anyone here? Have you been able to craft some relationships with professionals that are really interested in what you're doing and worked out "alternative" payment structures? Just looking for advice on finding such a person, and wondering if this really still happens.

[Uncle Puck]

We are starting up, and as inexpensively as possible, but I didn't even try to find someone to do either thing for free or reduced rates. I searched online and found a lawyer in state who specializes in liquor and beverage law and belongs to the state brewers guild. I didn't want to waste time or risk having important things done incorrectly. We haven't spent much on legal fees yet, but he has always had the answers and sample documents we need, so every penny is one I consider well spent. Accounting is similar for me. I have always done turbotax for personal taxes, but wanted expertise in business and beer accounting, so we found a firm that specializes. We use Xero and a couple other apps to do it all remotely, and yes, it has been our biggest regular expense to date, but when I got our LLC tax returns from them this year and saw all that went into them, it was again money well spent. We pay a monthly fee for them, but only hourly for the lawyer. I'm sure there are thirsty lawyers and accountants that will work partly for beer, but are they going to be best for you in the long run? I prefer industry experience and expertise.


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[beerlawcenter]

Yes, find an attorney.

I agree with Hennessey and Uncle Puck on this one.

There are always attorneys out there that will work with you to fit your budget. And, I've got several clients where they pay part of their bill in beer - and that's cool.

But, word of warning, you also get what you pay for.

When money is tight, work out something if you can. But, this needs to be a long term relationship that - hopefully - will grow as your brewery grows. So, have a clear understanding of when you can/will transition to a more formal financial arrangement. Just like you can't pay your landlord on your 4000 sq ft brewery in beer alone, I can't pay my rent in beer. Also, you may be talking about several thousand dollars in legal work (depending on what you need), what the hell is an attorney going to do with 10 or 12 kegs of beer besides have a party? (which, by the way, is not a sustainable business plan for a lawyer).

So, it's not long term sustainable for the attorney. At some point, you could become a second-class client because the attorney can't use your "money" to pay employees or pay bills. Beer is great, too, if you want an attorney that does alcohol law as a hobby. For a novelty, a lark, or just for kicks, a lawyer may take on a brewery as a client paying in beer. But, you also don't necessarily want a lawyer who takes you on as a client "for fun" or where you're the first time the lawyer has ever seen alcohol law in your state.

I'll get off my soapbox and just say that you can certainly find a way to work with an attorney to get the help you need (and you should get legal help, the alcohol regulators do not like the excuse "I didn't know I couldn't do that."). But, make sure you find the right lawyer and transition off from "paying in beer" to more formal financial agreements as soon as you can - you'll both be glad you did.