Q: I just met with an angel investor, and she's agreed to put money in my company. The trouble is, she wants me to send her a contract before she'll give me her check. Since I'm a startup business, I don't have a lot of money to hire a lawyer. Any advice?

A: Even in today's recessionary economy, legal services don't come cheap. Solo practitioners and small law firms often bill their services at $300 an hour or higher. And while many websites offer standard legal forms for free, drafting an agreement between your company and an investor generally requires the services of an experienced business-law attorney.

What's the solution? If you don't know any corporate and securities lawyers, ask your accountant, consultant or other professional services advisor you trust to recommend several law firms that specialize in working with small businesses. Then interview them to make sure they can offer the skills and experience you need for an affordable fee. Often, the best attorneys for small businesses are lawyers who've worked at larger firms earlier in their career, then left to open their own practices. Their overhead is lower, which means you'll get partner-level experience at associate-level prices. Once you find the attorney who's right for you, you'll save time and money by giving her the information she needs as soon as she requests it

"The best way for a client to save money on legal fees is to be competent and organized," says Neil Kaufman, a corporate and securities lawyer at Davidoff Malito & Hutcher LLP in Garden City, N.Y. "Nothing runs up wasteful legal fees more than having to redo work already done because the information on which it was based turned out to be incorrect, incomplete or provided at the last minute."

It's also a good idea to have your attorney put your fee agreement in writing, Kaufman says, so you won't get sticker shock when you see the bill. New York lawyers, for example, are required to provide written engagement letters to all clients whose matters are expected to exceed $3,000.