Three Kinds of Law Firms

• Author: David V. Lorenzo
• Pages: 14-16

§9. Client Attraction Secrets for Lawyers

14

§9.

THREE KIN DS OF LAW FI RM S

About half of the lawyers in the United States have some form of ownership interest in their law

firm. Both by choice and by chance they find themselves in the position of starting a business, attract-

ing clients, and providing a service. While some of these folks are better suited for business ownership

than others, all of them are filled with hope for the future.

In the past few years I have personally met with or spoken with over 1,000 of these lawyers. Each

of them has some degree of fear of the unknown, each of them has some level of confidence in their

ability to practice law and each of them still has hope for their future earning potential. Where they

differ is in their reasons for being a law firm owner. Some became law firm owners by chance some

became law firm owners out of necessity and some became law firm owners out of pure ambition.

When we first meet I ask them what kind of a law firm they want to build. This ques-

tion puzzles most lawyers. It is akin to asking: “Where do you see yourself in five years?” Most

people don’t have a clue. They have not given any thought to next month, so looking out five years

is something that makes them uncomfortable.

Since this question requires some thought, and since answering it is a healthy exercise for

anyone who owns a law firm, I have prepared a brief summary of the three types of law firms

for you. Read through them. Reflect upon them and decide which best fits the plans you have for

your future.

1. The Temporary Law Firm

This is where your law firm serves as a transitional vehicle at various points during your

career. You may have been laid off from a job in a big law firm and you want to find another job

in a big law firm. Since those jobs take time to find, you set up a legal entity and you help the

people you know with legal work.

These lawyers spend about 75% of their time looking for their next job. While they focus their

attention on the few matters they actually handle, they never focus the direction of their practice

(because it is just temporary). This leads to a great deal of uncertainty and frustration.

If this is you, I encourage you to dedicate yourself to building a book of business. Even a small

roster of clients will help you land a job at a large firm. It is easier for a firm to make the deci-

sion to hire you if you come with clients who will fund your salary. Once you make the decision

to focus on this task with 100% of your effort, you will be amazed at how things seem to come

together.