7 Helpful Tips To Build A Law Firm Startup
All legal professionals dream of having their own law firm startup. It is natural for a lawyer after gaining some experience to think along these lines. Many professionals act on their thoughts but only a few are successfully able to realize their dreams.Most attorneys miss out because they fail to run the firm like a company.
People forget that they are starting a business and apart from providing excellent services, they need to market and promote their firm. Right from choosing a suitable name for the agency to its location, they need to plan everything before starting the operations. Some helpful suggestions are being presented in this article for people who want to start a business which is recognized among the best law firms in Delhi or anywhere else in the world. Let’s take a look at how attorneys can fulfill the dream of having their own law firm.
1. Identify A Legal Type For The Firm
As mentioned earlier, a law firm is just like any other business and it will need to be incorporated. Anyone looking to open such an agency must first identify the most appropriate legal type for their new business. The choice will dictate the legal and tax liabilities of the entity and its owner. People who are starting the company with other persons can register the business as a partnership or a corporation. Individuals going into business alone can incorporate their firms as a sole proprietorship. It will be pertinent to first understand the tax implications and the effect on personal assets before choosing the legal structure.
2. Focus On One Practice Area
It will be sensible for professionals to focus on their area of expertise rather than trying to provide all kinds of legal services. For instance, if a lawyer is working in the startup law cell of a law firm in India, then she must create a startup legal agency. Once the firm has established itself as a strong player in its domain, then it can diversify into other practice areas. This will also help the professional in gaining valuable experience in the sector and offering services at competitive prices.
3. Choose A Suitable Location
The physical location of the new business is another vital factor that needs plenty of forethought. The selection will be dictated by the budget of the agency as well as its focus practice area. For instance, a corporate law firm needs to be located in the business hub of a city where its target clients can locate it easily. The size of the office will depend upon whether the attorney plans to hire employees or not. Individual business owners can operate from a single chamber where they can work as well as meet clients. However, a large firm will require a bigger space. A good way to cut costs is to rent a co-working space. These places provide some necessary infrastructure like furniture, housekeeping services, internet, and telephone connection at reasonable prices. This helps in reducing operational costs.
4. Estimate The Costs For Starting The Firm
One of the most important aspects of building a law firm startup is to make an estimation of the costs of starting the business. The infrastructure including the office space, stationery supplies, computer hardware, and software solutions will require a substantial amount of money. The costs will escalate if the lawyer plans to hire some employees. Legal registration will also require the payment of fees. Some money will also be needed to promote the business. Making a cost assessment will help owners understand whether they need outside funding or can start the venture on their own.
5. Invest In Creating A Virtual Presence
The internet runs the modern world and it is nearly impossible for a business to survive without having a virtual presence. Lawyers must get a website built for their firm besides creating profiles on social networks. They must also register their agency on local business listings and directory websites. A majority of people use the internet to search for products or services that they need. Creating a presence on multiple virtual avenues will help clients find the law firm easily. Lawyers must hire digital marketing professionals to promote their business in the virtual world.
6. Identify The Necessary Technological Solutions
Lawyers need technological tools to ease their tasks and improve their efficiency. Software solutions are needed for managing case files, timekeeping, generating bills as well as managing accounts, contacts, and schedules. They can install a practice management software which will help them do all these tasks. Moreover, many service providers offer solutions customized according to the size of the firm and practice areas. There are also many online legal research services which provide access to databases consisting of laws, statutes, case summaries, and other journals. Some companies also provide AI-based tools which help in the research. Choose solutions which will be helpful in running the agency and buy their subscriptions.
7. Network With Complementary Service Professionals And Firms
A good way to increase the business is to network with other professionals or agencies providing complementary services. Let’s say, a lawyer runs a corporate law firm in Delhi NCR. Then she can approach chartered accountants or tax consultants and ask them to help out her clients who need such services. A revenue sharing model can be agreed upon by both sides. Such relationships help both parties get access to each other’s clients.
In order to build a successful law firm startup, attorneys must create a proper business plan before beginning the venture. This will help them avoid mistakes and start the agency without much trouble.
About the author
Ankit Srivastava is a Digital Marketing Strategist by profession & Blogger by passion. He loves writing on various topics as per his interest. Apart from blogging, he is a big foodie & love clicking pictures of his favorite food items. Whenever he gets free time from all this, he goes to explore different places of India. Read more