Congratulations on your decision to start a law firm. It may be one of the most important steps you make in your life. Unfortunately, you didn’t learn how to start a business at law school because it only taught you to think like a lawyer. But worry no more because this article can guide your steps in starting and growing a successful firm.
Figure out if you’re ready to run a law firm
Managing a law practice is both a profession and business, and you must be willing to do both. You need to acquire new skills different from those you already have as a lawyer because running a business tackles other issues than practicing law. So, before you start the process, figure out if you want to be involved in running the business, practice law, or be a business owner, and don’t forget to consider the time this venture requires.
As the owner of your own law firm, you do more than practice law because you build your business according to your preferences. You can also decide the clients you accept and cases you refuse.
Anticipate the associated costs
Don’t spend more money than you’re comfortable with. Starting a law firm implies investing time and money, and you need to determine how much you can pay.
In addition to the finances you need to start the business, you also need money to pay your bills and care for your family. It’ll take some time for your company to be in a position that pays salaries and provides you with income.
Depending on your location, needs, and practice area, you need to spend between $5000 and $15,000. You need to pay for renting an office, buying supplies, licenses, hardware equipment, marketing, software, and other services. A way to save some money is to outsource some services. For example, instead of hiring a full-time transcriptionist, use a legal transcription online tool because it’s more affordable and provides you with the same benefits.
Set goals
Your business should serve your career goals. Learn about your life and decide what lifestyle you prefer to understand the type of law firm you need to start. In the law sector, the mantra is work-until-you-drop, but you don’t have to adopt this lifestyle if you’re not comfortable with it.
Write down your vision
Your vision should be measurable, clear, and easy to understand. It should condensate your goals and plans for the law firm. Use it to establish your values and missions, document the business model, set the price and expectations, identify the trends that’ll affect the business, strategy you intend to use to attract clients and establish the key performance indicators you’ll use to monitor the company’s evolution.
Don’t worry if you don’t figure out all these aspects in a single sitting because it takes time to create a complete business plan.
This article can serve you as a roadmap you can use when you don’t know the next step. Now that you have the needed tools to create a strategy and start your business with confidence, you can name yourself an entrepreneur.