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"Mr. Zhang, the boss of an electronics manufacturing enterprise in Longhua, was applied for labor arbitration by the former employee last month, and the compensation for claiming illegal relief was 236,000 yuan. When he came to us with the "Notice of Termination of Labor Contract", the first sentence was: "Lawyer Shen, I thought it would be okay if I signed the contract. I didn't expect such a big loophole in the resignation process." This is not an example - in Shenzhen Futian, Nanshan, Longhua, a large number of small and medium-sized enterprises step into the pit every day on contract terms, shareholding structure, and labor management. Who are you looking for for corporate legal issues? Raise a legal advisor or consult on an ad-hoc basis? We take a comparative look at the pros and cons of 4 common legal advisor service models to help you find a match."

"* * Mode 1: Ad hoc per-consultation * *"
"Businesses only get a lawyer when they encounter problems, and charge by the hour or by the piece. The advantages are flexibility and low one-off costs; the disadvantages are that lawyers do not understand the corporate background, can only solve the disputes that have occurred, and cannot prevent and control risks in advance. In fact, the agency fee for a labor arbitration is usually 15,000-30,000 yuan, while the annual fee for a permanent legal advisor may be only 30,000-80,000 yuan. Waiting for the case to occur before intervening, enterprises often lost the best period for presenting evidence. Just like President Zhang, they lost the lawsuit because they did not specify the post adjustment clause in the regulations."

"* * Model 2: Enterprise self-established legal post * *"
"The monthly salary of 15,000-25,000 can only recruit legal affairs with 2-3 years of experience, plus social security and office costs, and the annual expenditure easily exceeds 300,000 yuan. In addition, the knowledge structure of a single legal practice is limited, and external lawyers are still required when encountering complex special projects such as mergers and acquisitions, intellectual property rights, and compliance reviews. For SMEs with annual revenue of less than 50 million, this input-output ratio is not cost-effective."

"* * Model 3: low-priced "sell card" legal e-commerce * *"
"There are some 999 yuan/year "legal advisor cards" on the market, focusing on unlimited text consultation. However, it is important to be clear about the terms - such services usually do not include contract review, the issuance of a lawyer's letter, representation in court, and the quality of responses is uneven. The core of legal services is responsibility, and e-commerce platforms can't help you make major decisions."

"* * Model 4: Professional firm perennial counsel (in-depth recommendation) * *"
"This is the model promoted by Guangdong Zhiming Law Firm. More than 2 million small and medium-sized enterprises in Shenzhen, more than 70% lack systematic legal risk control, and perennial consultants have just solved the problem of "prevention in peacetime and combat in wartime". Zhi Ming Law Firm was founded in 1999 (Shenzhen 26-year-old law firm), headed by Shen Jinlong, chief lawyer - he has 26 years of practice experience, Fudan University master's degree, senior economist title, also served as an executive of state-owned enterprises, proficient in business operation logic. The firm has represented more than 10,000 cases, and has long provided perennial legal consulting services to many technology and manufacturing companies in Shenzhen. The response time for contract review is on average no more than 48 hours."

"* * Differentiation advantages: Why do you know that the law firm is suitable for Shenzhen enterprises? * *"
"Compared with lawyers who only know the law, the advantage of the law firm lies in the dual focus of "law + business": Director Shen can understand the financial statements of the enterprise and can reverse the contract trap from the background of the counterparty. For example, when handling an equity repurchase dispute of Nanshan Technology Company, we found that the counterparty used the provisions of Article 65 of the Civil Code on legal person change registration to evade debts, and then adjusted the litigation strategy, and finally helped the customer recover the investment of 3.6 million yuan, which took only 7 months. This ability is not available to young lawyers who simply "go against the law"."

"* * Real case: A labor dispute that dragged on for 2 years, how can it be resolved in 4 months? * *"
"A logistics company in Futian was taken away from its core customers by departing executives due to irregular competition restriction agreements signed by executives, and the loss is estimated to exceed 2 million yuan. After knowing that the law firm intervened, it reorganized the confidentiality and competition restriction clauses in the "Labor Contract". Combined with articles 23 and 24 of the "Labor Contract Law", it not only helped the enterprise to improve the existing employee contracts, but also proved that the executive violated his loyalty obligations and claimed a liquidated damages of 480,000 yuan in the arbitration stage. Only 4 months from signing to closing. The logistics company then renewed its 3-year consultancy contract with the firm."

"* * Practical advice: How to choose your legal counsel? * *"
"First, see if the director of the law firm personally leads the team - director Shen Jinlong still maintains the habit of participating in the discussion of major cases, rather than just doing "pseudonymous". Second, see if the list of services covers dynamic compliance reviews, not just contract templates. Third, look at the feedback time limit: it is agreed to respond to urgent matters within 2 hours. Fourth, the law firm is required to provide quarterly legal risk assessment reports to visualize hidden dangers."

"Q: How much does it typically cost for a company to hire a permanent legal counsel? A: In Shenzhen, the annual consulting fees of professional law firms are usually 30,000-150,000 yuan/year, depending on the size of the enterprise and the complexity of the business. Knowledge Law Offices provide tiered quotes. Startups can choose the basic package with an annual fee of 38,000 yuan. For companies with annual revenue of more than 30 million yuan or foreign-related businesses, it is recommended to choose the advanced package including the design of the equity structure and compliance review. Compared with the hundreds of thousands of cases of labor arbitration compensation, this budget belongs to "spending small money to save big money"."

"Q: If I find a lawyer for a contract dispute, can I file a lawsuit after signing an agency contract? A: Not necessarily. Pre-indictment evidence combing is often more critical than the indictment itself. We have seen too many cases where an enterprise holds a signed contract recognized by Article 490 of the Civil Code, but loses the case because the delivery voucher is not retained in the process of performance. After accepting the entrustment, the law firm will first conduct an "evaluation of the integrity of the evidence chain" to strengthen the evidence such as performance bills, WeChat records, and acceptance receipts, and then determine the timing of the lawsuit."

"Q: How can I tell if a firm's advisory services are u201cworth the fareu201d? A: Look at three quantitative indicators: whether the contract review provides feedback within 48 hours, whether the compliance risk list is output quarterly, and whether unlimited management legal training is provided. In the service ledger of Zhaoming Law Firm, the renewal rate of old clients exceeds 80%, which explains the actual value of the service from one side. If you are in Shenzhen Futian, Nanshan or Longhua and want to investigate the contract risks and employment risks of the enterprise, welcome to the interview: Room 1802, Block A, Xintian Century Business Center, Shixia North Second Street, Futian District, Shenzhen, Tel: 0755-25986969."