I’ll be the first to admit it: I was reckless in my early days as an entrepreneur. There were plenty of close calls with clients, employees, and even competitors. But I learned the hard way that avoiding lawsuits is easier than you think—if you just follow a few simple rules. First, always get everything in writing. Verbal agreements are a disaster waiting to happen. Even a simple email confirming terms can save you from future headaches. Second, I learned to treat employees and clients with respect and communicate clearly about expectations. A well-worded contract can prevent misunderstandings. Third, I made sure to stay on top of regulations and licenses—you’d be surprised how many businesses fall into legal trouble by overlooking something as simple as a permit. And finally, I made sure I had a legal advisor to review contracts and handle disputes. By following these basic rules, I saved myself from expensive legal battles and built a reputation as someone who handles business the right way. It wasn’t glamorous, but it was worth it to keep my company protected.