You’re trying to handle everything yourself to save money. You’re Googling legal questions, doing your own bookkeeping, and figuring out business strategy alone. But you’re not sure if you’re missing something critical or making expensive mistakes. You don’t know when DIY crosses into foolish territory.
Here’s when to hire professionals and when to save the money—based on actual risk and ROI, not fear.
Legal: When You Need a Lawyer
Definitely hire for:
Complex contracts:
Large client contracts ($50,000+), partnership agreements, commercial leases, or anything with significant financial risk. Cost: $500-2,000 for review/drafting. Worth it because mistakes cost far more than legal fees.
Intellectual property:
Trademark registration, patent applications, or IP disputes. DIY trademark filing often gets rejected; professionals know the process. Cost: $1,000-3,000 for trademark, $5,000-15,000 for patent. Investment if IP is core to business value.
Legal disputes or threats:
Client threatening lawsuit, vendor contract dispute, employee complaint. Never handle litigation alone. Cost: varies wildly ($200-500/hour typical). Cheaper than losing lawsuit or settling poorly.
Raising capital:
Taking on investors, issuing equity, or structured financing. Securities law is complex; mistakes have severe consequences. Cost: $5,000-20,000 for seed round documentation. Non-negotiable if you’re raising money.
Probably don’t need for:
Basic business formation:
Forming LLC or S-Corp is straightforward. Use LegalZoom ($300-500) or state filing directly ($50-200). Only hire lawyer if complex ownership structure or multi-state operations.
Standard service agreements:
Templates exist for common services. Buy industry-specific template ($50-200), customize for your business. Have lawyer review once you’ve closed 5-10 clients and can afford it ($500-1,000 one-time).
Website terms and privacy policy:
Use reputable template generators. TermsFeed, Termly, or similar services ($0-100 annually). Custom drafting costs $1,000-3,000 and is overkill for most small businesses.
Accounting: When You Need Professional Help
Definitely hire for:
Tax filing (once profitable):
CPA for business tax returns once you’re making money. They find deductions you’d miss, ensure compliance, represent you if audited. Cost: $500-2,000 annually depending on complexity. Saves more than it costs in tax optimization.
Multi-state or international operations:
Sales tax nexus rules are complex. International tax gets even messier. Hire specialist if operating across state lines with inventory or internationally. Cost varies; worth it to avoid penalties.
Preparing for sale or funding:
Clean books matter for due diligence. Hire accountant 6-12 months before raising capital or selling. They’ll organize financials properly and identify issues early. Cost: $2,000-10,000 depending on cleanup needed.
Probably don’t need for:
Monthly bookkeeping (when small):
Under $100,000 revenue, DIY with QuickBooks or Wave. Categorize transactions, reconcile accounts monthly. Cost: $0-15/month for software vs. $200-500/month for bookkeeper. Save money until volume justifies help.
Payroll (for just you):
Owner draw doesn’t require payroll service. Once you have employees, use Gusto or similar ($40-100/month). Much cheaper than accountant handling payroll ($100-300/month).
Financial projections (early stage):
Build simple projections yourself using templates. Hire financial consultant ($1,500-5,000) only when pitching sophisticated investors who’ll scrutinize models. Overkill for most small businesses.
Bookkeeping: The Middle Ground
When to hire a bookkeeper:
Volume threshold:
Once you’re spending 5+ hours monthly on bookkeeping or your revenue exceeds $100,000 annually. Cost: $200-500/month. Worth it because your time is better spent on revenue-generating activities.
Complexity:
Inventory management, multiple revenue streams, or contractor payments to track. Bookkeeper ensures accuracy and saves you headaches. They prepare reports for your CPA, saving tax prep costs.
What they do:
• Categorize transactions
• Reconcile accounts
• Generate monthly financial reports
• Track accounts receivable/payable
• Prepare year-end information for CPA
Business Consultants: When They’re Worth It
Hire consultants for:
Specific expertise gaps:
Need Facebook ads expertise for product launch? Hire specialist for 3-month project. Need to build sales system? Hire sales consultant. Specific, defined engagements with clear deliverables. Cost: $2,000-10,000 for project work.
Strategic inflection points:
Considering major pivot, planning significant expansion, or preparing for acquisition. Strategic consultant provides outside perspective and prevents expensive mistakes. Cost: $5,000-25,000. Worth it when stakes are high.
Accelerating what you know works:
You’ve validated a channel but lack execution capacity. Hire implementer to scale while you focus on other areas. Examples: SEO agency, PR firm, operations consultant. Only after you’ve proven concept yourself.
Don’t hire consultants for:
General business advice:
Broad “help me with my business” engagements rarely deliver value. Too vague. Better: read books, join communities, find specific answers. Save $10,000-50,000 in consulting fees.
Things you should learn yourself:
Core business skills (sales, marketing basics, customer service). Don’t outsource fundamental competencies. You need to understand these even if you eventually delegate execution.
Before you’ve validated your model:
Don’t hire growth consultant before you have product-market fit. Don’t hire operations consultant before you have customers. Validate first, optimize second. Otherwise you’re optimizing nothing.
Finding and Vetting Professionals
How to find good ones:
Referrals from peers:
Ask business owners at your stage who they use. Personal recommendations beat Google searches. People working with similar businesses understand your needs.
Industry-specific professionals:
CPA who works with consultants, lawyer specializing in SaaS, bookkeeper for e-commerce. Specialists know industry-specific issues and best practices. Worth paying slightly more for relevant expertise.
Interview 3+ before deciding:
Most professionals offer free consultations. Interview multiple, compare approaches and fees. Ask for client references. Check credentials and reviews.
Questions to ask:
• How many clients like me do you work with?
• What’s your typical engagement structure?
• How do you communicate and how often?
• What results should I expect?
• Can you provide 2-3 references?
The Bottom Line
Hire professionals when mistakes cost more than fees or when your time is better spent elsewhere. Don’t hire from fear or because “real businesses” use professionals. Hire strategically based on actual risk and ROI.
Start lean: DIY bookkeeping, use contract templates, learn basics yourself. Add professionals as revenue and complexity increase: bookkeeper around $100,000 revenue, CPA for tax returns, lawyer for complex contracts or legal issues. Consultants only for specific expertise gaps or strategic moments.
Good professionals save you money, prevent disasters, and free your time for growing the business. Bad professionals waste money and give you false security. Choose carefully, start small, expand as needed. Your professional team should grow with your business, not ahead of it.
