And thriving small businesses without legal counsel are especially exposed.

If your business is doing well – not struggling, not brand new – there’s a good chance you’re carrying a legal risk you don’t even realize exists.

Not because you’re reckless. Not because you’re unethical. But because modern online businesses collect far more data than most founders understand, and the law has quietly shifted under their feet.

Why This Matters Now:

For years, small businesses could reasonably assume they were “too small” to be targets.

That assumption is no longer safe.

Today, litigation trends increasingly focus on how websites collect, share, and transmit user data; and plaintiffs’ firms are not just targeting big tech. They are increasingly focused on visible, profitable small and mid-sized businesses that rely on standard tools without updated legal guidance or infrastructure.

In many cases, this risk is apparent from the outside: the technologies in use, how data flows through a site, and whether website terms and policies reflect current legal standards.

At the same time, mass arbitration and class-action-style filings have made it easier, and more profitable, to pursue claims at scale.

The result? Legal exposure that often appears without warning, and long before a business considers itself “big enough” to need ongoing legal counsel.

This is why legal protection is no longer a reactive task; it’s a growth responsibility.

I see this most often in businesses that:

• Are consistently profitable
• Have strong visibility, audiences, or traffic
• Use standard “off-the-shelf” tech tools
• Don’t yet have ongoing legal counsel

Ironically, those businesses are often the most exposed.

The problem isn’t your intentions, it’s your infrastructure.

Most small businesses today use some combination of:

• Website analytics
• Tracking pixels
• Embedded videos
• Chat tools or chatbots
• Online forms
• Session replay or UX tools
• Email and SMS marketing platforms

None of these are inherently “bad.” Most are considered standard.

But here’s the part many founders miss:

Some of these tools can trigger wiretap, privacy, or consent laws — even if you never touch the data yourself.

In several recent waves of lawsuits, plaintiffs’ firms have focused not on massive tech companies, but on visible, successful small and mid-sized businesses whose websites quietly collect data in ways that no longer align with current legal standards.

Why businesses without legal counsel are hit hardest:

When a business doesn’t have ongoing legal support, three things tend to happen:

1. Assumptions linger “We added a privacy policy years ago.” “Everyone uses this tool.” “Our platform said it’s compliant.”
2. Tech stacks evolve faster than documents New tools get added. Old policies stay untouched. The risk compounds invisibly.
3. There’s no early warning system By the time the issue surfaces, it’s often via a lawsuit or series of lawsuits (google Mass Arbitration lawsuits).

At that point, the conversation is no longer about prevention. It’s about damage control.

Why “I’ll deal with legal later” is no longer a neutral choice:

For many years, small businesses could reasonably delay proactive legal work. That window has closed.

Today, plaintiffs’ firms actively look for businesses that:

• Are profitable enough to pay
• Are visible enough to find
• Have outdated or generic legal language
• Rely on third-party tools without understanding the data flow

This isn’t theoretical risk. It’s a business model, and it’s accelerating.

The quiet truth founders don’t like to hear:

Legal protection isn’t something you “earn” the right to handle once you’re big enough. It’s something you need once you’re visible enough.

If your business is:

• Generating consistent revenue
• Running paid ads or large email lists
• Hosting podcasts, videos, or online programs (especially in health / wellness, entertainment, or financial arenas)
• Collecting any kind of user interaction data

Then you’re already past the point where DIY legal is sufficient.

Updates every few years is not going to cut it. Because so much has changed and is changing constantly in relation to privacy, technology, and the legal landscape (new regulations, new legal decisions impacting how these rules apply to businesses).

This isn’t about fear. It’s about stewardship.

I don’t share this to scare founders. I share it because I’ve watched too many good businesses get blindsided by risks they didn’t know existed – risks that could have been addressed calmly, proactively, and affordably before they became emergencies.

Legal protection is not a punishment for success. It’s part of being a responsible steward of a growing business. It’s caring enough about what you’ve built to protect it properly, and to invest in legal support as a growth strategy, not a sunk cost.

If you’re not ready for full legal counsel yet,

start here:

• Audit what tools your website actually uses
• Pause or limit any tools collecting personal or interaction data (cookies, chats, session replay, etc.) until you have appropriate controls, notices, and legal documentation in place
• Stop assuming platform defaults equal compliance
• Update legal documents after your tech stack is finalized — not before
• Get guidance from someone who understands online business + modern litigation trends

Because the businesses most at risk right now aren’t reckless ones.

They’re the ones doing well enough to be noticed, but still hoping nothing goes wrong.

If you’re unsure whether your website creates this kind of exposure, a proactive review is far less expensive than defending a claim after the fact.

For some businesses, this kind of risk can be addressed through a focused legal audit and targeted updates.

For others, particularly those with growing visibility, complex tech stacks, or ongoing marketing activity, ongoing legal guidance becomes part of responsible growth.

The right level of support depends on where your business is now, and where it’s headed.

For more information, to implement website protection or update your current documentation or to explore ways you might enlist ongoing support appropriate for your business trajectory, contact me at heather@pearcelawservices.com or schedule an initial consultation.

You can learn more or schedule an introductory call here to see if we might be a fit to work together:
👉 go.legalwebsitewarrior.com/15-collab

DISCLAIMER: THE INFORMATION PROVIDED IN THIS POST MAY CONTAIN LEGAL INFORMATION, BUT DOES NOT CONSTITUTE LEGAL ADVICE. NO RELATIONSHIP, INCLUDING ATTORNEY-CLIENT RELATIONSHIP, HAS BEEN FORMED AS A RESULT OF THIS POST. YOU ARE ADVISED TO SEEK THE ADVICE OF AN ATTORNEY LICENSED IN YOUR STATE IF YOU HAVE ANY QUESTIONS.

© 2025 Heather Pearce Campbell, The Legal Website Warrior®