Law firms are organizations of lawyers that offer legal expertise, representation, and advice to clients. They can range in size from a single lawyer to large, full-service firms with multiple practice areas.
Firms typically charge by the hour and may combine that with flat fees for specific services. Choosing the best law firm for your business will help you avoid costly mistakes that could damage your reputation with clients.
Costs
A law firm can provide you with more comprehensive legal advice and assistance than an individual lawyer or trying to manage your case independently. However, a law firm can also be more expensive.
Many firms charge their clients hourly rates for their services. They may also charge a flat fee for particular services, such as contract drafting. Another billing technique law firms use is “capped fees,” in which lawyers log their time in increments of six minutes or tenths of an hour and then bill the client after the case.
Attorneys in law firms are paid a combination of salary and equity. In some cases, new associates are offered an equity stake in the law firm, while others are hired non-equity. Law firms have support staff like legal secretaries and information and records clerks. Several law firms have even opted to eliminate these positions and are combining the duties of these employees with those of the attorneys.
Reputation
When you hire a law firm, reputation plays a critical role. A good law firm like Rice Law will be well-regarded in the community and have access to streamlined resources to quickly and effectively complete legal matters. You can save money and avoid delays by doing this.
Attorneys at law firms bill clients for their services by recording each unit of time spent on a project (e.g., one hour). They then submit these work units to the partner in charge, who puts together the final bill for the client. Some firms use mobile apps to make it easier for attorneys to record their hours on the go.
Lawyers who are equity partners in the law firm own a share of the firm’s profits and make decisions by taking a partnership vote. Some large firms also have management committees that handle day-to-day operations. Staff members include administrative assistants, paralegals, and other support staff. These professionals assist lawyers with research, document drafting, and other tasks.
Specialization
Law firms specialize in meeting specific client needs as the business world grows more complex. For example, IP lawyers work with companies to obtain patents and trademarks, while transaction law firms handle mergers and acquisitions. Criminal defense attorneys defend businesses and individuals charged with crimes.
Most attorneys at law firms specialize in a particular practice area, often by choice, while others are recruited into specialty areas to fill gaps in the firm’s resources. Specialization helps attorneys develop a reputation in a niche and allows clients to select an attorney with expertise in their area of legal concern.
In addition, the specialized focus of attorneys allows law firms to bill for time spent on specific cases or matters. This billing method can benefit clients who require routine or standardized legal services, as the varying hourly rates for different attorneys allow them to estimate costs in advance. Productivity, in turn, leads to customer satisfaction and retention, which can result in referrals.
Experience
Law firms are a complex ecosystem of paralegals, associates, and partners. Each member must work harmoniously to fulfill client needs.
Generally, junior associates and summer interns have little to no decision-making power, while managing equity partners are joint owners of the firm with limited control. Non-equity partners are paid a set salary and may have certain limited voting rights in firm decisions.
Attorneys typically specialize in one or more legal fields, such as criminal defense, business litigation, and corporate disputes. They research laws and regulations that apply to clients’ circumstances and advise them on legal matters.
Most firms pay attorneys by the hour, so they must keep track of their billable hours (see CDO’s The Truth About Billable Hours). Some lawyers have titles like “finder,” “minder,” and “grinder.” The finder scouts for business; the minder takes on new clients and ensures existing ones are happy, and the grinder does the work.
