SOURCE: LegalZoom

LegalZoom

February 17, 2010 14:14 ET

LegalZoom Survey Reveals Would-Be Entrepreneurs Are Waiting Out Recession

National Start a Business Month Is a Great Time to Take the First Step Toward Financial Independence

LOS ANGELES, CA--(Marketwire - February 17, 2010) - While the economy slowly recovers, many Americans are realizing that their lost jobs will not be coming back. Thankfully, this country was built by entrepreneurs who created new jobs for themselves and others. For February as National Start a Business Month, LegalZoom.com surveyed 1001 Americans and learned three reasons why many people want to own a business... someday.

One-third of survey respondents said the current economy is too risky to launch a start-up. Most of these people plan to wait between two years (23% of those surveyed) and five years (55%) before starting a business. But waiting to start a business may not be the best strategy.

"If you have a solid business idea, it can succeed regardless of how strong the economy is at the moment," said Brian Liu, co-founder and chair of LegalZoom.com. "We created LegalZoom in 2000 during a down economy and found that people were very interested in affordable options for legal documents."

In addition, more than three quarters of those surveyed (79%) said they lacked necessary start-up capital for their business. While it's always wise to anticipate the cash that will be required to run a business, with resources like LegalZoom it's less expensive to get started than many people think. Forming an LLC, Corporation or LLP can give your business credibility, limit personal liability and even generate tax advantages. 

And with a little creativity, it can be even easier to stretch dollars in a new business. "Many people start their new business by operating out of their homes. If you need outside space, rents have fallen dramatically. Right now you can also find highly skilled people or vendors at a very reasonable cost, or even barter your own product or service," said Liu.

For many entrepreneurs, intellectual property is their biggest asset. Getting protection by filing for a patent, copyright or trademark using LegalZoom's easy-to-follow questionnaires is a smart early step.

And finally, almost half of the survey's respondents (44%) said that while they want to start a business, they just don't know where to begin. To help people get answers to common questions about types of business entities, legal requirements for starting a business and ways to protect assets, LegalZoom offers a comprehensive free online Education Center. 

"This is a terrific time to act on a great business idea, regardless of what's going on in the broader economy," Liu concluded.

About LegalZoom.com
Launched in 2001 by a founding team that includes famed attorney Robert Shapiro, LegalZoom.com has become the nation's leading online legal document company. LegalZoom merges innovative technology with personalized service to deliver a simple, cost-effective way to take care of common legal needs. LegalZoom is not a law firm and can only provide self-help services at your specific direction. LegalZoom service offerings include: Wills, Living Wills, Incorporation, LLC Formation, Living Trusts, Powers of Attorney, Divorce, Small Claims, Trademarks, Patents, and Copyrights.