Conventional wisdom (and many attorneys) will tell you that if you are a business owner or manager, you will get in trouble if you don’t have a good business attorney. But when I hear this, I see it as a negative statement, which frankly annoys me. I guess smart entrepreneurs don’t want to be belittled and told that if they don’t have a lawyer, they will be too naive or inexperienced to avoid cheating.
Another way of saying this is that I personally hate doing anything to get away from something. I prefer to make decisions that allow me to move towards the perceived benefits of my actions. So I address my clients accordingly.
So, with this in mind, I will rephrase the main benefit of having a great lawyer by your side as follows: You will make more money. Therefore, you should see a business attorney as your partner who will help you make the decisions that will improve your business and drive your bottom line.
Now if you are looking for an attorney or are not satisfied with your current attorney, how do you choose a great business attorney? But first a definition. What is a business lawyer? Personally, I distinguish a commercial lawyer from a corporate or commercial lawyer. For me, the business lawyer in the classic sense of the term denotes the classic lawyer-client relationship in which the lawyer is more than someone who produces papers. I define the business attorney as your near-business partner or confidant. Someone you can trust, who can solve your problems, understand you and help you grow.
Now, here are my TOP 10 TIPS for choosing a GREAT BUSINESS LAWYER, not in any order of importance.
10. Don’t assume you need a big, top-of-the-line company. I come from several large, top-of-the-line law firms. They make great laws and sometimes you need the “brand” or “label” of the large law firm that you have next to you, for example, if you are going to go public. But for a more routine job, you don’t need such a company. They are expensive and many layers are understood. So for you to deal with the best dog, you will pay up to $ 1,000 per hour or more. If your budget is a quarter of this, most of the time you will be dealing with a junior associate who will not have the business experience you are looking for. It really depends on your needs and your budget.
9. Don’t just focus on the billable hourly rate. If you’re hesitating between someone costing you $ 250 an hour and someone else at $ 350 an hour, don’t make a decision strictly on cost. What matters are two things: first, what will be the final invoice and, second, what value will it have received. The hourly rate is a red herring. What’s the point of asking someone to do a job for you at $ 250 an hour if the person needs 40 hours for the job where the other attorney at $ 350 an hour only needs 20 hours? Especially if the other attorney can do a better job for you. Billing policy is too thorny and complicated a topic to address in a few lines. My point is simply that the hourly rate is not the only and the end of everything.
8. Find someone you would like to have a drink with. If your relationship with your business attorney is to be successful, you must connect with him / her personally. It is in your best interest to let your attorney come into your life as a near-friend. For this to happen there must be personal chemistry.
7. Seek business experience. If your business attorney is going to advise you on your business, it is trivial to say that business experience is a must. Again, this is about the difference between dealing with a junior associate fresh out of school and someone who has practical business experience.
6. Find someone who is open to a flat rate agreement. No one I know wants to hire an attorney without knowing what the final bill will be. While this is often difficult for an attorney to estimate, he (she) may be open to a fixed or flexible fee arrangement. And he (she) should be able to give you at least a good idea about the rates.
5. Find a negotiator who is not a deal breaker. In any business deal, there can be dozens of reasons why the deal can’t work or why the deal isn’t right. You don’t want a lawyer throwing unnecessary roadblocks to make the deal work. It requires a practical approach. These are business risks and your attorney should give you the pros and cons and advise you rather than blocking the deal.
4. Think of your business attorney as your part-time legal vice president. Some business attorneys are open to retention agreements where they will agree to act as your part-time legal vice president at a lower cost than hiring a law firm. A lawyer could, for example, offer to work a certain number of days per month for a fixed fee. It could save you money and help you grow your business with a smart person on the inside who comes to understand your business from the inside out.
3. Find someone with good business connections. Getting things done in this world often requires a good business network. Having access to this through your attorney is invaluable.
two. Find a person of people. If you want your attorney to make things happen for you, he (she) will have to be someone who does not oppose everyone around you. Having someone who interacts well with other people can be key to making something work.
1. Think about the end result. Lawyers cost money, but I say this should not be your first thought. What you should think about is whether by spending, say, $ 1,000, your attorney can help you generate $ 2,000. If so, the attorney is not a cost. It is a co-generator with a 100% profitability rate. If you think about it that way and your attorney complies, the cost won’t be too bad to digest.
With these elements, you will be in a position to make the best decision for what works for you.