Monthly Archives: January 2011

Attorneys in transition attract clients with alternative billing

J. Nick Augustine J.D. is the principal of ALR/PRA, Inc., a full service law practice management agency.  He advises and assists attorneys in transition in public relations and marketing, and also shares recruiting and staffing experience and tips for legal job seekers.

I have a colleague and friend who recently shared a unique model for billing clients who are short on money.  While some say there are no clients, others understand that there certainly are people in need of legal services, but they don’t have as much money for legal fees.  As a result of budget constraints, many would-be clients are going it alone, using self-help resources instead of hiring the attorneys in transition.

To attract the clients on limited budgets, consider developing an alternative billing and fee structure.  Allow clients to budget for legal expenses instead of living in fear of the growing invoices they expect from attorneys using traditional law firm billing practices.

Always perform a reasonable amount of due diligence when taking on a new client who has expressed financial concerns.  This is a red flag for many attorneys and when business is booming, most clients who report financial trouble are often redirected to bar associations for referrals.  Be careful when representing clients to whom you extend any type of credit – nobody likes the free lunch and bar complaints can be common from clients who received a discount on legal services.

Fixed-price fee schedules are an effective way of setting reasonable expectations for traditionally hourly-billed services.  Many routine processes and pleadings can be priced (based on value, time and complexity) so that a client knows what certain options will cost.  From a strategy perspective, a client may think twice about litigating certain issues and settle when they know what a protracted hearing will cost.  Don’t forget to think ahead and build in language in your fee schedule and engagement agreement so that non-routine events are still billable on an hourly basis when necessary, such as when you have an opponent who buries you with an exceptional amount of pleadings and discovery requests.

Fixed-price fees are common among transactional attorneys and the small and midsize firms have attracted budget conscious clients, particularly in the commercial business client space.  Consider taking a fixed-price item and allowing a credit-worthy client to pay in easy installments.  When cash flow is important, installment-based receivables, when paid on time (hopefully they pay on time) can reduce the stress of monthly overhead.

Percentage-based payments and extensions of credit may also attract clients who are expecting more money to pay fees in the near future, based on tax returns, year-end bonuses or cash settlements.  You can enter into an agreement wherein the client assumes your standard hourly fees and pays a percentage of the amount based on what they can afford.  In a sense this is a revolving credit account and you should always be mindful of commercial laws addressing attorney client and debtor/creditor relations.

Shingle while you search

Tiffany Farber is a solo practitioner who has been practicing law since 2008. As someone who has been through transition in her career, she understands the challenges lawyers in this situation face.

If you find yourself unemployed, like so many do right now, and you have the opportunity and desire to take on clients of your own, then you shouldn’t let nay-sayers get in your way.  Handling cases on your own gives you confidence and the much-needed experience that employers desire in candidates.  I do advise you, however, to really think through your game plan before hanging out your shingle.  There are a lot of mixed feelings out there about attorneys in transition taking on clients, but I think it can be done if you have a plan in mind.

Your first steps:

Your first steps should include setting up your IOLTA and operating accounts with your bank and buying a malpractice policy.  These are very important aspects of any law practice.  If you are planning to have a small, temporary practice think about renting virtual office space so you aren’t tied to a lease.  These arrangements allow you to have an actual Chicago address and access to an answering service.  You can also rent conference rooms by the hour.  Some lawyers have a mobile practice and meet clients in coffee shops and restaurants.  I don’t necessarily recommend this because it compromises your client’s privacy, but it is done.

Marketing:

If you aren’t interested in having a large practice, keep your marketing efforts small.  Focus on one or two areas of marketing instead of casing your net wide.  I recommend making business cards.  For cheap cards, try checking out vistaprint.com.  You may want to set up a fairly simple website, but keep in mind that there are associated costs.  Websites give you authenticity, but word of mouth can be a very successful tool as well.  Attend as many networking opportunities as possible, with your business cards in hand, and tell everyone that you are taking clients.

Case types:

There is a risk that if you take on clients, their cases will involve a great deal more work that you initially thought.  This is the main reason that starting a practice while looking for employment is difficult.   In my opinion, this is a very important issue to think about when you are starting a practice and searching for full-time employment at the same time.  As you know, litigation can take years.  What if you take on some clients and score a full-time job a few months later?  Is it ethical or even permissible for you to just drop a case that involves ongoing litigation?  No.  Think about the types of cases that will allow you to move on once they are completed.  If you write a will for a client or handle a real estate closing, this can take less time than handling a divorce or negotiating a settlement.

Working with another attorney:

Having a relationship with someone who already has a law practice can be another great way to get experience and make some money.  Explain to the attorney you are working with that you are looking for full-time job opportunities.  The attorney may ask you to do some light work like handle a court appearance or do some research for him or her, but you will be getting experience without having to worry about leaving a client high and dry.  If the attorney has more complex work for you to handle, think about your level of commitment before you accept the opportunity.  Remember, if you take on a case, you should not take a job opportunity until you have fully assisted your client.

Who am I?

Bill Wilson spent over 20 years in legal departments at corporations large and small, from high tech to brick and mortar, and is writing about various topics while trying to find that next great career opportunity.

This very simple question should be the start of your job search.  The answers hold the key to building your resume, where to search, and who can help you.  But it’s deceptively simple, in that there are many, many layers to it.  And answering it requires a healthy doses of honesty – with yourself.  Fortunately, as a lawyer, you should be very good at the process, but it’s always harder with yourself.  So don’t try to do it all alone.

On one level, you need to state the facts: I have done this kind of law in the past, I’ve worked here.  But you need to know much, much more about yourself.  Organizations have personalities too, and chemistry is probably the key factor in hiring: the hiring powers ask “do we want to work with this person?”  “What will they add to our organization?”  And they are looking at fit, and so should you.  Some want a particular kind of person; others look for a mix.

I will confess that of my 20-plus years of regular full-time employment in-house, only 14 of those years was I working where I should have been.  I am not a very political person, but I worked five years at a company where politics was played out with live ammunition.  I value integrity above many other factors, but went to work somewhere that did not share that value with me.

Looking back, I probably realized those things in both cases by the time the offer was made, if I had been more rigorous about the process of who I was, and acted consistent with them.  Sure enough, I was more successful when I worked where my personality and the organization’s were in sync.

Take some time with some clean sheets of paper to do some thinking.  Are you a workaholic, or is balance important?  Is money key, or other things? Type A or laid back? Am I a loner or a team player? When didn’t it feel like you were working?  When did you feel valued?  What could you have done without?  Was it people (who change frequently) or was it the institution (that usually don’t) that was the source of your issues or the reason it was great?  What got you excited: was it the products, was it the chance to work with lots of other smart people, or was it that they assumed you knew what you were doing and let you do it?  Lots of rules or no rules?  Many questions.

A word of advice: Get feedback.  Take out old performance reviews and look for the grains of truth.  Ask mentors, past supervisors – and listen.  Don’t forget your spouse.

Armed with these answers, you will write a better resume that paints a more vibrant picture of who you are; narrow your search to organizations that are consistent with you; and probably be happier with, and more successful in, the job you get.

Meet one of our event’s speakers

Katherine E. Hagman is a consultant at Chicago Legal Search, Ltd., and she is one of our speakers at our Wednesday event. She took some time to answer a few of our questions.

What is your No. 1 piece of advice for lawyers going through a career transition?

My No. 1 piece of advice for those going through a career transition right now is to keep a positive attitude. You may feel like you’ve heard this a million times over, but it is vital to your job search and your career.

In this market, rejection is inevitable. Take it in stride, because employers pick up on negativity, desperation and defensiveness about being unemployed. Do not internalize this rejection. Trust me when I tell you that it’s a very tough job market and I see many qualified and talented people applying for the same position, and only one person will get the job. If you are rejected, this does not negatively reflect on your value as a person or as an attorney.

Focus on the positives of the process – getting an interview, a new career around the corner, learning a new skill, meeting new people. Think about what you bring to the table and keep these thoughts at the front of your mind.

How can a lawyer become a better networker?

Being a successful attorney involves skills such as writing, researching, drafting and analytical thinking. These are very important skills, but they don’t always translate into the realm of networking.

Here are a few suggestions to improve your networking efforts:

Expand the pool of people you want to network with. Don’t just think of other attorneys you know who work in law firms – think of other professionals and even friends that might have connections or suggestions for you. Maybe someone has a relative who works at a start-up company and needs an attorney. It’s great to talk to other lawyers to get job leads, but lawyers tend to know a lot of other lawyers and probably get a lot of inquiries already. Expand your networking efforts to those outside of your profession.

Set a firm goal for yourself for people to meet with in a week. Pick a day that you’re going to be in the Loop and tell three people, “I’m going to be in the Loop for a meeting on this date. Would you like to get coffee after?” These face-to-face meetings are vital and will help your contacts keep you in mind.

Be honest about your situation and be direct about what you would like from the people you contact. I think some people are afraid to tell others that they are looking for a new job. Others seem to feel guilty for “imposing” on someone. But these people in your network are your friends and colleagues – they want to help you. Let them know what they can do. Don’t be afraid to ask them to introduce you to a hiring professional or to ask them to give your resume to a hiring contact at their company or firm.

Lastly, but most importantly: Think long term! Don’t just network with the hopes of getting something quickly in return, such as an interview or a job, and then never talking to this person again. Networking is a two-way street, and it’s a long road! Realize that the people you meet today may open doors for you down the road. You are not just networking to find a job – you are connecting with friends and professionals who will be an asset to you professionally for many years. See what you can offer them as well.

How would you characterize the job market right now for lawyers?

Difficult, but much better than this time last year.

From my vantage point, the job market for attorneys in Chicago has improved quite a bit recently. It’s still tough for new grads to land that first job, but for laterals, those with the right type and level of experience are getting more interviews and offers than a year or two years ago.

Many of my clients are hiring and have told me that they are receiving far fewer resumes in response to job postings than this time last year. That is very good news! It’s a good time to be looking for a job, because you are more likely to get results. I think many people will be moving on to new ventures (they have been waiting to opportunities to arise), which means that the firms and companies that are leanly staffed after having numerous layoffs in the past couple of years will need to replace these attorneys very quickly. We are seeing this translate to more hiring and people getting back to work.

Got LLM?

J. Nick Augustine J.D. is the principal of ALR/PRA, Inc., a full service law practice management agency.  Nick advises and assists attorneys in transition in public relations and marketing.  Nick also shares recruiting and staffing experience and tips for legal job seekers.

Last week I had the opportunity to serve as a juror at Loyola University Chicago School of Law.  My friend Ted is a Loyola alumni and he knows me through the DuPage County Bar Association – why is that relevant?  You never know what connections and opportunities show up today as a product of networking seeds you planted some time ago.

Happy to carve out some time to volunteer for their trial, I arrived at Loyola and met some of the other jurors.  Many of us were lawyers, tasked with creating fictitious personalities for voire dire.  In the past, I have volunteered my time for moot court and other law school and college level competitions, and I have never been more impressed than I was at Loyola this past Friday.  The level of skill was impressive.   I had incorrectly assumed that some of the students were practicing attorneys going back for an LLM, they were LLM’s coming straight from JD programs.

Many schools offer LLM programs and attorneys in transition have a unique opportunity to take on more education when the economic climate creates additional time in the schedule.  Hiring partners at law firms are using increasingly rigid standards for new associates.  One of the other jurors, a trial lawyer, commented that an LLM in trial skills can supplement some of the training lawyers learn in practice with time under their belt.  I agree, and while and LLM is not an experience substitute, it is certainly a resume booster.

Advanced degree programs in trial skills, practice and advocacy are particularly valuable.  Learning these skills in an LLM setting allows for more feedback and learning opportunities than otherwise might be available in the traditional JD coursework.  During Friday’s mock trial, the jurors had the opportunity to critique counsel on their trial performance.  The comments were sincere and well received by the participants, interested in feedback and impressions as the jurors.

Attorneys in transition should consider an LLM program.  Towards the end of law school many of us just want to graduate and move forward and get to work, and I think many of us run from an LLM program because we are so sick of being in law school.  So, if we decided then not to pursue advanced legal education, are we foreclosed from doing it now?  I think not.

If you search for “LLM programs Chicago” on Google you will receive several program options at various schools and with several price points.  You may even find an online course that peaks your interest.  You may want to take a look at LLM programs where you went to law school or at another institution, and there really are no hard and fast rules on going back for more education, or staying in, if the job forecast seems bleak as graduation approaches.

Meet one of the upcoming speakers

Attorney Joe Gagliardo will be one of the speakers at our upcoming event, which is Jan. 26. He took some time to answer a few of our questions.

What is your No. 1 piece of advice for those lawyers going through a career transition?

Attorneys in the midst of professional transition should reflect on the progression of their legal careers.  They should analyze where they have been, but more importantly, should focus precisely on where it is they want to go.

An important component of this reflective process is to identify one’s strengths –  all of them.  Also, identify which type of legal work you enjoy doing most.  Listing your career goals and marking a clear career path will help you visualize ideal positions.  Honing in on your strengths and pinpointing your professional accomplishments will increase the chances that your transition stage will be a short one.

How do you change your practice if the economy affects it?

Implementing wholesale changes to your practice in this challenging economy may not necessarily be the best route to take.  Perhaps a modified approach can be effective.

First and foremost, while you consider the future of your practice, do not overlook existing clients.  Current clients can provide valuable assistance.  Nurture your relationships with them.  For example, you may contact them periodically to update them with respect to trends in the law.  Doing so will remind them that you value their business and relationship.

Next, expand your referral network.  Regularly meet with accountants, bankers and other attorneys.  Firms should also continue to identify prospective clients.  Your marketing efforts cannot come to a grinding halt.  Keep active in the business and professional community and attempt to develop new client relationships.

Finally, if the economy is undeniably taking a toll on your practice, consider alternative areas of law- or little niches within your current area — that you can devote extra attention to.  Build up your knowledge and experience in these areas and, if appropriate, take on a matter involving these areas of law.  After all, in these trying times, implementing changes to your practice may be the most effective strategy.

Why does everyone talk about networking as a great career booster?

The positives of developing and maintaining a comprehensive network of professional contacts are endless.  To be certain, a strong network will bolster your chances of securing your next legal position.

The most important question is, “Who knows you and what you do?”  In other words, when an opportunity arises, who will think of you?  Do whatever you can to be the person attorneys and others naturally think of when they hear about an opportunity.  If your network contacts are aware that you are in transition, they will go out of their way to help you out.  Having friends willing to lend a helping hand is more ideal than attempting to secure your next position on your own.

Finally, your network will provide benefits for the duration of your career, even when you are well settled into a position.  Needless to say, contacts can be a great source for referrals.  Also, a strong network provides the opportunity to collaborate with colleagues, thus elevating your substantive knowledge of the law and the quality of your practice.

Make a commitment

Tiffany Farber is a solo practitioner who has been practicing law since 2008. As someone who has been through transition in her career, she understands the challenges lawyers in this situation face.

It’s Jan. 17, do you know where your 2011 resolutions are?  I recently attended a seminar that kicked my resolutions, both personal and professional, into high gear.

The seminar I attended, “Yes to Success,” was taught by a long time friend of my family named Debra Poneman.  The conference itself was extremely inspirational and covered a range of techniques for making one’s goals a reality.  Debra knows a thing or two about making goals a reality; she is a bestselling author and an international speaker—but she wasn’t always.  When she began her seminar over 20 years ago, she had no idea if anyone would be interested in attending.  She took a leap of faith and because she was so committed to helping people, she became wildly successful.

One of the exercises that we worked on in the seminar was to write out our goals – all of them.  I thought this was a super hard yet extremely helpful activity.  Sure, we all have nebulous goals for ourselves, but it’s rare that we have the occasion to sit and write them out.  In the seminar we first wrote out our lifetime goals, then our five-year goals, then one-year, monthly and weekly goals.  This exercise is extremely helpful for job seekers.

Seeing my goals on paper made them more real.  It gave them life and added a level of commitment that I didn’t have when I was just thinking about them in the abstract.  One of my lifetime goals is to write a book.  My five-year goal is to be a published author; my one-year goal is to have 12 chapters done, my one-month goal is to have one chapter done and my one-week goal is to write for at least an hour every day.  It’s a new year, so the time couldn’t be better for you to write out your own goals.

It doesn’t take long, but it takes discipline to follow them.  I challenge you to do this exercise.  If your lifetime goal is to have a successful and meaningful career, you should start thinking about your weekly plans to get there.

Another concept we talked about was making commitments.  When you make a commitment to something, you feel energized to move forward.  I recently made a commitment to something in my own life and within a day of making the commitment, three opportunities opened up for me.  Because I was ready to move forward, things started happening.  Something I recommend is to sit down and write out your goals and then make a commitment to carry at least one of them out.  The combination of writing your goals and making a commitment to carry them out will energize you.

It’s a new year.  Think clearly about what you want to achieve this year, this month, this week and make a commitment to carry your goals out.  I know that good things will come your way.

Pro bono efforts can lead to new opportunities

J. Nick Augustine J.D. is the principal of ALR/PRA, Inc., a full service law practice management agency.  Nick advises and assists attorneys in transition in public relations and marketing.  Nick also shares recruiting and staffing experience and tips for legal job seekers.

Attorneys in transition may be frustrated by a lack of work.  When most of us think of work we expect to be paid for our time.  Consider the clients with good cases who don’t have the money to hire a lawyer.  Consider the lawyers who get good cases and need help but cannot afford to hire an associate.  What is the value of work?  How do you define compensation?  I suggest there can be great value and compensation in pro bono efforts.

I wrote about a legal career event I attended at Northwestern University School of Law last summer.  Sponsored by the American Bar Association’s Criminal Justice Section, the event featured a panel of distinguished professionals who spoke on their road to their current positions.  One recurring theme expressed by the panelists was the ability to recognize and seize genuine opportunities.  The benefits of pro bono service were also discussed, because you never know where they might lead.

I started engaging in pro bono service when I was an undergraduate student at Marquette University.  Knowing I wanted to go to law school, I sought an internship to gain more experience and build my resume.  My “Intro to Law” professor told me she was a prosecutor at the Milwaukee County Office of the District Attorney.  ADA, Sister Mary Johnstone, made a phone call and before I knew it I was the law clerk to the Misdemeanor Team Captain.  The key to this opportunity was that I didn’t need to be paid, and was hungry to learn.  Fifteen years later, I still rely on my experiences working in that office, and it has been surprising how often I have been glad I understood the charging and prosecution process from the inside.

One of my friends is a very well-known immigration and criminal defense attorney who, through her accomplishments, has earned the trust of several large firms who refer cases to her, some of which she takes for no fee.  My friend sometimes stops by my office and lets me know about a matter she is working on and indicates she may need additional help with research and drafting.  Knowing that she is well-connected and always on the lookout for high-quality attorneys, I send her a pro bono law student or lawyer in transition, who is willing to work pro bono.  These pro bono opportunities can open doors and introductions to new people who could help propel one’s career.

If you are an attorney in transition, consider carving out some time for a pro bono effort, because you never know what you might learn or who you might meet in the process.  I agree that the bills need to be paid and cash needs to flow – you can have the best of both worlds and earn money outside of law, where necessary, while continuing to build your resume.  My father often told me during law school, “You can become whatever you want; it is just a matter of how hard you are willing to work to get there.”

Surviving the economic climate

J. Nick Augustine J.D. is the principal of ALR/PRA Inc., a full service law practice management agency.  Nick advises and assists attorneys in transition in public relations and marketing.  Nick also shares recruiting and staffing experience and tips for legal job seekers.

I often ask lawyers in my social networks what advice they want to hear.  For some attorneys in transition, the advice is easily taken; in other situations advice can be more complicated.  This week’s advice goes out to a solo practicing attorney in California.  A native of Egypt, my friend likely anticipated a career in the Golden State here in the U.S. would be a “dream come true.”  Today he is asking how to survive in the present economic climate?

“Suddenly Solo” is being tossed around as a remedy for associates who have fallen from big firms or law school graduates who just passed their bar exam and are looking for employment.  One of our leaders in law practice management, Ed Poll, recently appeared up on my Facebook wall with a link to a story about the risks of going solo versus riding out the storm.  I tend to agree with the sentiment that if you don’t have to make a great change, you might be better off holding on to your hat and waiting a while longer.

First, to those who want to leave a firm temporarily challenged by a dip in revenue:  hold on a while longer.  Take an assessment of your capital contributions and consider the amount of brand equity you have with your current line-up.  Even though the cash may not be flowing this month, the contacts and connections you’ve made already will suit you well in the future.  Many professionals have said that economic cleansing leaves behind the people who are best suited for their jobs.  The lawyers who hold tight in their current positions are more likely to appear successful and maintain the respect of clients and colleagues.

Second, to those solo practitioners who want to hang up their shingle:  hold on a while longer.  A few attorneys have mentioned that they terminated some associates last year when there was little work; now, instead of hiring new associates, principals are bringing some struggling solo’s into their firms instead of re-hiring associates.  While this may be a temporary fix, this scenario could require you to hang up on the tremendous human capital and sweat equity you invested into your solo practice.  If you are going to go this route, consider an of counsel relationship to another firm instead of closing the doors to your solo practice.

I expect some to say:  “Nick, how can you expect us to hold on where there is no money?”  OK, fair question – there are always alternative incoming generators you can tap into while maintaining your status quo.  When I started my business in 2005 things were good, then in 2007, the clients started drying up and I took an extra part-time job to keep cash flowing.  Is it a shock to the ego to take a second job?  Yes.  Is it worth it in the long run to be able to ride out the storm?  I think so.

Taking a second job can be as simple as assuming some overflow cases as an of counsel attorney to another firm.  Taking on contract work through an agency can be another secondary income source – you would be surprised how many solo practitioners are doing just that.  To my colleague in California, I wish you well; to all the attorneys in transition:  just hold on a while longer.