Tag: Business Development

Attend the LSSO’s 13th Annual RainDance Conference June 7-8

LSSO’s annual RainDance Conference is the key resource of the organization.  The two-day conference is filled with high-level interactive sessions, roundtables and lively discussions with industry thought leaders.

LSSO RainDance Conference 2016 Chicago

LSSO’s RainDance Conference – Register Today!

When: June 7 & 8, 2016

Where: The Mid-America Club, Chicago, IL

RainDance offers less of the theory and more of the practical, effective sales and service strategies for attendees to bring back to their firm and implement immediately.  With an intimate setting, you can expect open and honest dialogue among the attendees about the challenges they face in meeting the demands of the increasingly competitive and evolving industry.

RainDance is for firm leaders who have significant responsibilities for client retention, client growth, new business development, client service, and process improvement strategies to shape the future of their firms. It is recognized and known for attracting the highest caliber of attendees who are often regarded as the thought leaders in their firms and those who help shape the industry.

Click here for more information and to register.

About LSSO

The Legal Sales and Service Organization, Inc. was launched on August 8, 2003. At that time, law firms were beginning the evolution from marketing to incorporate business development and service initiatives.

Legal departments became ever more demanding of their firms and increased their use of process improvement tools, like Six Sigma and Lean, internally. However, law firms did not have the resources or tools in the areas of business development, service excellence and quality initiatives. LSSO was created to fill those needs.

Then and especially now, law firm leaders have ever-greater responsibilities for the future of their firms. The market is crowded and highly competitive. Clients are sophisticated buyers. As such, lawyers and law firms must employ effective sales and service strategies, whether they are responsible for bringing in new business or developing and retaining clients through service delivery.

The Evolving Role of Today's Law Firm Leaders

The National Law Review is in attendance at the 23rd Managing Partner Forum today in Atlanta, Georgia. NLR Managing Director Jennifer Schaller is moderating a collaborative panel discussing investing in clients. Check out the below article by founder of the Managing Partner Forum, John Remsen.

We all know that the legal profession has changed dramatically over the past two decades, resulting in a new set of challenges that yesterday’s firm leaders never had to confront. There’s an oversupply of lawyers. More demanding and less loyal clients. More demanding and less loyal partners and associates. Staggering advances in technology. Tort reform in many jurisdictions. Skyrocketing operating expenses. Mergers and acquisitions and unprecedented competition. Certainly these and other trends have created tremendous pressures for law firm leaders—who must change the way they operate if their firms are to remain viable in the long run.

Yet most aren’t keeping pace. In the midst of all the change, far too many firms haven’t changed much at all. They run essentially the same way they did 20 years ago—like loose confederations of solo practitioners sharing office space.

Why? According to nationally known lawyer-psychologist Dr. Larry Richard and his groundbreaking research on the subject, most lawyers hate change. They also love autonomy and resist rules and structure. They have little patience and want immediate results. They don’t like risk and shun the unknown. So for many firms, it’s easier just to leave things alone.

On the other hand, some firms “get it.” These firms are fundamentally changing the way they do business, with streamlined governance, standardized systems and procedures, strategic plans, and marketing and business development programs. They enforce minimum performance standards for partners and associates. Many are also divesting themselves of low-profit clients and practice groups. They are deequating underperforming shareholders and asking disruptive lawyers—even those with big books of business—to leave. These firms are emerging as the front-runners in the market because their top levels of leadership have the moxie and vision to make change happen.

The Firm Leader as Change Agent

In today’s most successful law firms, the role of managing partner has evolved significantly, from that of a “caretaker” trying not to rock the boat to that of a dynamic consensus builder and change agent. Today the managing partner is the CEO of a multimillion-dollar entity in a rapidly changing industry and needs to exercise critical leadership skills to set the example for leaders at all other levels of the firm and thus ensure the organization’s success.

Of course, knowing that you need to set the course to success and actually doing it can be difficult, given the press of countless to-dos firm leaders tackle every day. Consider this: Last year TheRemsenGroup surveyed more than 170 managing partners from firms ranging in size from 10 to 2,200 lawyers. Of those firms, 60 percent had more than 50 lawyers. When they were asked what their most important contributions were in their roles as managing partner, building consensus among shareholders and initiating change topped the list of responses. In contrast, when asked where they spent most of their time, day-to-day administration ate up way too much of it.

We also asked if these managing partners had a job description: 74 percent did not. In addition, 76 percent did not have a clearly defined exit strategy.

What can we take from this? Too many leaders at the top levels of law firms are winging it.

Steps to More Effective Leadership

A successful firm leader must be a visionary, a communicator, a negotiator, a coach, a disciplinarian, a cheerleader and a psychologist all wrapped up in one person. Needless to say, it’s not an easy job, especially when you add management responsibilities to the mix.

There are, however, steps that the top levels of firm leadership can take to enhance their effectiveness and improve the performance of their organizations. Here, in a nutshell, is the guidebook.

  • Codify the Top Leader’s Job

Every managing partner should have a well-defined job description. It should set forth the primary responsibilities of the position, the amount of time required, and how the partner will be compensated for his or her nonbillable contributions. Also, it should account for the fact that a managing partner’s time should be spent mostly in the areas of planning, communication and consensus building. Day-to-day administration functions should be delegated to a capable administrator.

  • Appoint Strong Group Leaders

A firm needs strong leadership at all levels. Unfortunately, departments and practice groups are too often led by the most senior lawyer or the lawyer with the biggest book of business when, in fact, that may not be the right person for the job. Passion, commitment and leadership skills are required for these important roles. To help ensure the right people are put in the right positions, department heads, practice group chairs and branch office managing partners need job descriptions, just like the managing partner does.

  • Develop a Firmwide Strategic Plan

The evidence is clear. Firms that have plans outperform those that do not. Planning helps to bring everybody onto the same page, sharing the same vision for the future. Firm leaders have to embrace and encourage the planning process and the plan’s implementation at the firm, practice group and individual lawyer levels.

  • Build a Firm-First Culture

Leaders should always encourage and reward a “firm-first” mind-set and attitude among all the firm’s members. There are a variety of ways to do this, including through compensation mechanisms, but even simple steps can prove very effective. For example, insist on the term “our” clients instead of “mine” and “yours.” Leaders must do everything possible to promote trust, teamwork and fairness within the firm.

  • Lead by Example

Managing partners and practice group leaders cannot be hypocrites. They must “walk the talk” by being first in submitting their individual marketing plans, getting their time records in, mentoring younger colleagues, returning client phone calls and otherwise setting the standard for everyone in the firm.

  • Invest in the Future

According to LexisNexis’s 2007 Juris Law Firm Economic Survey, the top performing and most profitable law firms spend more per person than underperforming firms do. They are investing in the future. The lesson: Resist the temptation to enhance profitably through cost cutting. That’s a short-term fix. Profitable firms look at long-term impacts.

  • Groom Successor Leaders

The best leaders are wise enough to identify and mentor a successor for their roles. They give that person important, high-profile assignments so that the firm’s people gain trust and confidence in the successor’s leadership skills well before the torch is actually passed. In addition, managing partners in particular should have a well-defined exit strategy that is communicated to all shareholders.

  • Be Passionate

They sure don’t teach much about leadership in law schools. But that’s not an excuse for failing to strive to be the best firm leader you can be. There are many intricacies involved in steering a firm toward top performance in times of change. To learn more about them, you should attend leadership conferences and ask your firm for training. Read books and articles. Learn from other managing partners and practice group chairs. It’s important for leaders to demonstrate that they’re devoted to excellence. -After all, if the leader isn’t committed, there aren’t likely to be many followers—and the firm will stagnate as a result. Those firms with strong, passionate and committed leaders, on the other hand, will emerge as the most successful law firms of the future.

Article By John Remsen, Jr of The Remsen Group
Copyright 2016 The Remsen Group

The Evolving Role of Today’s Law Firm Leaders

The National Law Review is in attendance at the 23rd Managing Partner Forum today in Atlanta, Georgia. NLR Managing Director Jennifer Schaller is moderating a collaborative panel discussing investing in clients. Check out the below article by founder of the Managing Partner Forum, John Remsen.

We all know that the legal profession has changed dramatically over the past two decades, resulting in a new set of challenges that yesterday’s firm leaders never had to confront. There’s an oversupply of lawyers. More demanding and less loyal clients. More demanding and less loyal partners and associates. Staggering advances in technology. Tort reform in many jurisdictions. Skyrocketing operating expenses. Mergers and acquisitions and unprecedented competition. Certainly these and other trends have created tremendous pressures for law firm leaders—who must change the way they operate if their firms are to remain viable in the long run.

Yet most aren’t keeping pace. In the midst of all the change, far too many firms haven’t changed much at all. They run essentially the same way they did 20 years ago—like loose confederations of solo practitioners sharing office space.

Why? According to nationally known lawyer-psychologist Dr. Larry Richard and his groundbreaking research on the subject, most lawyers hate change. They also love autonomy and resist rules and structure. They have little patience and want immediate results. They don’t like risk and shun the unknown. So for many firms, it’s easier just to leave things alone.

On the other hand, some firms “get it.” These firms are fundamentally changing the way they do business, with streamlined governance, standardized systems and procedures, strategic plans, and marketing and business development programs. They enforce minimum performance standards for partners and associates. Many are also divesting themselves of low-profit clients and practice groups. They are deequating underperforming shareholders and asking disruptive lawyers—even those with big books of business—to leave. These firms are emerging as the front-runners in the market because their top levels of leadership have the moxie and vision to make change happen.

The Firm Leader as Change Agent

In today’s most successful law firms, the role of managing partner has evolved significantly, from that of a “caretaker” trying not to rock the boat to that of a dynamic consensus builder and change agent. Today the managing partner is the CEO of a multimillion-dollar entity in a rapidly changing industry and needs to exercise critical leadership skills to set the example for leaders at all other levels of the firm and thus ensure the organization’s success.

Of course, knowing that you need to set the course to success and actually doing it can be difficult, given the press of countless to-dos firm leaders tackle every day. Consider this: Last year TheRemsenGroup surveyed more than 170 managing partners from firms ranging in size from 10 to 2,200 lawyers. Of those firms, 60 percent had more than 50 lawyers. When they were asked what their most important contributions were in their roles as managing partner, building consensus among shareholders and initiating change topped the list of responses. In contrast, when asked where they spent most of their time, day-to-day administration ate up way too much of it.

We also asked if these managing partners had a job description: 74 percent did not. In addition, 76 percent did not have a clearly defined exit strategy.

What can we take from this? Too many leaders at the top levels of law firms are winging it.

Steps to More Effective Leadership

A successful firm leader must be a visionary, a communicator, a negotiator, a coach, a disciplinarian, a cheerleader and a psychologist all wrapped up in one person. Needless to say, it’s not an easy job, especially when you add management responsibilities to the mix.

There are, however, steps that the top levels of firm leadership can take to enhance their effectiveness and improve the performance of their organizations. Here, in a nutshell, is the guidebook.

  • Codify the Top Leader’s Job

Every managing partner should have a well-defined job description. It should set forth the primary responsibilities of the position, the amount of time required, and how the partner will be compensated for his or her nonbillable contributions. Also, it should account for the fact that a managing partner’s time should be spent mostly in the areas of planning, communication and consensus building. Day-to-day administration functions should be delegated to a capable administrator.

  • Appoint Strong Group Leaders

A firm needs strong leadership at all levels. Unfortunately, departments and practice groups are too often led by the most senior lawyer or the lawyer with the biggest book of business when, in fact, that may not be the right person for the job. Passion, commitment and leadership skills are required for these important roles. To help ensure the right people are put in the right positions, department heads, practice group chairs and branch office managing partners need job descriptions, just like the managing partner does.

  • Develop a Firmwide Strategic Plan

The evidence is clear. Firms that have plans outperform those that do not. Planning helps to bring everybody onto the same page, sharing the same vision for the future. Firm leaders have to embrace and encourage the planning process and the plan’s implementation at the firm, practice group and individual lawyer levels.

  • Build a Firm-First Culture

Leaders should always encourage and reward a “firm-first” mind-set and attitude among all the firm’s members. There are a variety of ways to do this, including through compensation mechanisms, but even simple steps can prove very effective. For example, insist on the term “our” clients instead of “mine” and “yours.” Leaders must do everything possible to promote trust, teamwork and fairness within the firm.

  • Lead by Example

Managing partners and practice group leaders cannot be hypocrites. They must “walk the talk” by being first in submitting their individual marketing plans, getting their time records in, mentoring younger colleagues, returning client phone calls and otherwise setting the standard for everyone in the firm.

  • Invest in the Future

According to LexisNexis’s 2007 Juris Law Firm Economic Survey, the top performing and most profitable law firms spend more per person than underperforming firms do. They are investing in the future. The lesson: Resist the temptation to enhance profitably through cost cutting. That’s a short-term fix. Profitable firms look at long-term impacts.

  • Groom Successor Leaders

The best leaders are wise enough to identify and mentor a successor for their roles. They give that person important, high-profile assignments so that the firm’s people gain trust and confidence in the successor’s leadership skills well before the torch is actually passed. In addition, managing partners in particular should have a well-defined exit strategy that is communicated to all shareholders.

  • Be Passionate

They sure don’t teach much about leadership in law schools. But that’s not an excuse for failing to strive to be the best firm leader you can be. There are many intricacies involved in steering a firm toward top performance in times of change. To learn more about them, you should attend leadership conferences and ask your firm for training. Read books and articles. Learn from other managing partners and practice group chairs. It’s important for leaders to demonstrate that they’re devoted to excellence. -After all, if the leader isn’t committed, there aren’t likely to be many followers—and the firm will stagnate as a result. Those firms with strong, passionate and committed leaders, on the other hand, will emerge as the most successful law firms of the future.

Article By John Remsen, Jr of The Remsen Group
Copyright 2016 The Remsen Group

Lessons for Lawyers from Steve Jobs [VIDEO]

Apple LogoThis is Small Business Week and I’m going to share with you some inspiring talks by business visionaries in this week’s blog posts.

The first is one of the most famous commencement speeches ever given — the 2005 Stanford commencement address by Steve Jobs. One of my favorite lessons from Jobs’ talk is “Don’t be trapped by dogma — which is living with the results of other people’s thinking.”

The most successful lawyers I know have followed the less-traveled road to success. They have freed themselves from conventional thinking within the legal profession. They have marketed when others have not. They were among the first to adopt alternative fee structures while others lost clients to the hidebound billable hour. They have recruited Superstars for their firms while others were happy just to fill office chairs.

Our success in helping more than 18,000 lawyers grow their firms has always been rooted in contrarian thinking.   When firms have believed that the best path to fill their coffers was to be everything to everyone, we have demonstrated the profitable power of specialization. When firms have clung to traditional advertising, we have shown lawyers that the road to better ROI lies in isolating a target market and reaching out to them one-on-one for a more engaging experience. When the legal professional scoffed at Internet marketing and social media, we proved how having a strong online presence led to more leads.

Steve Jobs was a contrarian his whole life. Listen to Jobs speak about seeing opportunities in setbacks — even his own death, which was much closer than he knew at that time:

Article By Stephen Fairley of The Rainmaker Institute
© The Rainmaker Institute, All Rights Reserved

Building a Business Development Mindset in Law Firm Associates, Junior and Income Partners

meeting handshake black figures

Firms continually struggle to transition associates and junior partners from the “learning to be a great attorney mindset” to being great attorneys who also actively contribute to the firm’s bottom line.  In a fragile and shrinking legal market, business development at all levels and in all practice areas starts earlier and is being monitored more closely. Common stumbling blocks at the outset of building a business development mindset include where attorneys should start and how firms should help attorneys tailor their plans to both their different practices and diverse personalities. Once those business development plans are in place, firms are further challenged by how they can monitor and measure the effectiveness of their plans and how they must balance competing requests for funding for Business Development activities.

I had the opportunity to interview three law firm leaders in diverse practice groups about developing and monitoring attorneys’ business development plans.  Jason P. Grunfeld, the Head of Business Development and a partner in the firm’s Financial Services group at Kleinberg, Kaplan, Wolff & Cohen, P.C.;   Louis Britt, the Regional Managing Partner for FordHarrison‘s Memphis, Nashville and Dallas offices and a Partner in the firm’s Employment Litigation group; and Samir Gandhi, co-practice leader of Sidley Austin’s New York Corporate Group, took the time to answer some questions about effective business development strategies.  Thank you to for Messrs. Britt, Gandhi, and Grunfeld for sharing their experiences.

Jennifer:  What are some practical tips for helping even the most junior associates build a business development mindset?

Jason:  I tell associates to ask themselves some big questions:

  • What part of my work/profession excites me?
  • What is my network (professional, social, school), and how can I keep actively intouch with them?
  • What are my priorities and where do I want to be in 2, 5, or 10 years?

Then I encourage them to draft a plan for developing their: skills; expertise; visibility within the profession and to potential clients; and expand their network (both internally and externally). To keep up the momentum, I ask them to pick two items they can complete within the next month. One goal might be to reconnect with a potential or current client by sending them an email to touch base. Another could be to research an organization they would like to become more involved in. Still another could be to think about a potential article topic in their area of practice.

I also remind them to look for everyday opportunities to connect with new contacts and reestablish old ones.  This kind of networking is essential no matter what stage of your career you are in. It’s not just about connecting with potential clients, it also gets you in front of referral sources, mentors/advocates, and ultimately a great support system.

Louis:  At FordHarrison, we encourage associates from the very beginning to build a business development mindset.  This starts with building good habits and getting out to meet people.  We insist that associates take part in an organization, whether it’s a bar association, an industry association, philanthropic, or civic-oriented.  We want them to work toward becoming a leader in that organization, which can start with committee involvement and build from there.  We want them to write for publications, participate in speaking opportunities, and get used to occasionally having lunch outside the office.  They can start with former classmates, but also take the opportunity to buy a client lunch whenever they have the opportunity in working with them.

Building good habits is akin to regular exercise.  No one can run a marathon without putting in lots of shorter runs on a daily basis.  Lastly, it’s always good when partners can take associates along on a business development activity, whether it’s as simple as a lunch or as big as a pitch meeting.  People learn best from examples, and this is a great way to take a little of the mystery and nervousness out of business development for associates.

Samir:  Use simple, easy to accomplish tasks.  Most junior associates/partners who are new to practice development get intimidated by the concepts of “business plans” or marketing strategies.  Create goals that are effective yet not overwhelming, like doing one client alert per month or three practice development phone calls per week.  These are less intimidating and more likely to be done and each sets a goal that is practice development-focused.

Jennifer:  How can business development plans be tailored to meet different types of practices, different personality types?

Jason:  For most lawyers, the two primary obstacles to business development are fear and lack of time. The fear comes when lawyers are asked to step outside of their comfort zones and engage in new activities. Lack of time causes lawyers to push business development to the back burner, never giving it the chance to mature into a habit.

As far as personalities go, we also know that lawyers score high on skepticism (they question everything), autonomy (they don’t like being managed), and urgency (they want immediate results). None of this is great for developing business.  At Kleinberg Kaplan we try to overcome these obstacles by helping our lawyers develop marketing plans and tactics that fit their practices and unique personalities.

Tactics such as writing articles and participating in webinars to demonstrate thought leadership are helpful for lawyers whose personalities are more introverted.  Speaking to groups and attending networking functions are suggested for lawyers who are more comfortable with being extroverted. Some also find success with small group interaction at settings such as restaurants, cultural events, or sporting events. Other tactics can include making lawyers available for interviews to comment on key issues related to their area of practice. It’s all about the comfort zone for the individual lawyer… there is no “one size fits all.” Lawyers whose business development efforts are consistent with the needs of their practice, as well as their personality, values, and interpersonal characteristics are more likely to perform better.

Samir:  Difficult to answer as it really depends on the practice, but I tell people to really listen to what their clients or prospective clients want.  Lawyers tend to do things that are formulaic rather than bespoke.  Listen to what your clients’ needs are and your business plan can revolve around that need.

Jennifer:  Once business development activities have taken place, how do you monitor follow up and follow through?

Jason:  One aspect of our coaching program is the development of systems to organize, motivate and direct our lawyers’ business development activities in the shortest amount of time. We are helping our lawyers to build their own specific list of prospects that they would like to transform into clients – and a system that tracks exactly where they are in the process and the next steps that need to be taken.  This analytical approach provides organization, prompts action, tracks conversations, and helps us to analyze networks. The process begins with a chart that includes the name of the target organization; the potential contact within the organization; general description/information about the organization, history and notes about the contact; next steps to be taken; and deadlines to be met.

An important part of the process is identifying the various stages of the relationship:

  1. target identified,

  2. when the initial communication is made,

  3. what steps are taken to build the relationship,

  4. when the meeting is held to assess legal needs,

  5. what steps are taken to build trust (follow-up, sending articles, sharing information, etc),

  6. when the agreement is made to hire, and

  7. when the file is opened.

Samir:  At Sidley we try to gauge follow up through surveys and results inquiries (e.g., how did the RFP go?).   As a practice group head, I try to make sure I remind lawyers on my team to continually follow up and keep your promises to do so.

Jennifer:  How do you balance competing requests for funds / priorities for business development activities?

Louis: As attorneys are seeking approval for funds outside of routine client lunches or dinners, we ask them what business purpose is served and what follow-up is planned.  Another thing we do at our firm is give a greater priority when a lawyer looks to involve others in his or her office.  We want to avoid the use of funds for “pet projects,” so to avoid this, we will often insist that certain activities involve more attorneys within the office, and require a plan for follow-up.

Samir:  Carefully.  Based on a combination of need and effective use of funds.  We are a large firm and there are a lot of competing teams looking for funds.  We try to make sure teams use best practices to be efficient so that we aren’t unable to fund someone who is deserving because we were inefficient with funds.

Article By  Jennifer Schaller of The National Law Review / The National Law Forum LLC
Copyright ©2016 National Law Forum, LLC

[1] I recently had the opportunity to hear Louis Britt III, Samir A. Gandhi, and Jason P. Grunfeld speak at Thomson Reuters 23rd Annual Marketing Partner Forum held last month in Orlando.  I’d also like to extend a big thank you to Cindy Larson, the Publisher of SuperLawyers Magazine who moderated the “Where Are You Going? Where Have You Been? Investing in Junior & Income Partners for Business Development” panel whose members included Messrs. Britt, Gandhi, and Grunfeld.  Click here: for a full recap of this panel discussion by Cindy.

Ten Rainmaking Tips for Finders, Minders and Grinders

This past week, I was speaking at an IP firm here in Chicago. The Managing Partner and I met ahead of time and discussed the group dynamics. He said, “Steve there are three types of attorneys that you’ll be presenting to today; the finders, the minders and the grinders. The finders are out there looking for business. The minders are thinking about looking for new business. And the grinders are too busy and disinterested to even think about developing new business.”

While I had heard these terms and definitions before, it struck me funny because I have worked well with all three of these groups to successful outcomes. Whether you are indeed a finder, minder or a grinder, remember that all you need to be successful in developing new business is the right motivation and education. If you are interested in learning how to improve your business development skills and see value in doing so, there’s hope for you yet.

Regardless of what group you fit into, here are TEN solid tips to motivate and educate the finders, minders and grinders.

  1. You must become a great lawyer, before becoming a great rainmaker. Without understanding the law and how it applies to the real world, it is nearly impossible to speak intelligently about your services. I have worked with hundreds of attorneys and they all agree that selling legal services requires knowledge and experience of the law.

  2. Developing your skills as a networker right out of law school can dramatically help you in advancing your career 2-3 years ahead of your peers. Building new relationships and leveraging existing contacts can unearth all types of opportunities. Make sure you have a solid elevator speech or a few sentences that describe what you do and how you help people. Also, be ready and willing to find ways to help the people you are meeting with. Networking is all about reciprocation, so try to think strategically about whom you are helping and how that help might be reciprocated over time.

  3. While social media is all-the-buzz, the only one you need to really think about is LinkedIn. The reason I say this is because LinkedIn has become the Google for business professionals. Instead of going to google to find an attorney, people just use LinkedIn. So be sure to have a complete profile with a picture. Also, it’s incredibly easy to find good connections through LinkedIn if you know how to use it. If you are looking for introductions from your clients, connect with them on LinkedIn and search through their contacts to see who they know. It’s just that easy!

  4. One of the biggest mistakes attorneys make in trying to grow a practice is not having a plan for growth and success. This plan doesn’t have to be a fifty page MBA level plan, just a 2-3 page plan that outlines how you will focus your time on a daily, weekly and monthly basis. The key is to write a one sentence objective, followed by strategies and tactics. A strategy could be; develop quality introductions from my existing clients. The tactics would then describe how, when and what you are going to do in order to accomplish those strategies.

  5. Talking about your goals with your peers is another way to push yourself into achieving them. If you commit to losing ten pounds and never tell anyone, it’s easy to back out of it. On the other hand, you’re more likely to stick to the goal if you tell everyone because of the possible embarrassment of not following through. It also can be helpful to partner up with someone for accountability. Find a partner at your firm or a lawyer at another firm and share your goals. Speak or meet monthly to discuss progress and encourage one another. This works for losing weight and also works for building books of business. A little friendly competition never hurts as well.

  6. Hiring a coach or finding a mentor can change your life! Why do all the top athletes have professional coaches? Aren’t they already at the top of their game? The reality is that we can all learn from people more experienced than ourselves. I have personally hired 4 coaches over the past ten years and it has been the best investment I have ever made. Do your research and find a coach or mentor that is highly regarded and recommended.  Meet with the coach and discuss your issues and goals.  If it feels right, pull the trigger and give it your all.  Waiting for things to change on their own rarely improves one’s book of business.

  7. Finding a niche’ is another way to grow your book of business. Every lawyer knows who the top specialists are in different categories. How about the best generalists? Not so much. Find an area of law that you excel in and enjoy and start working more aggressively in that area.  Read the paper and try to find the legal issues that are trending.  If you are in health care law, look into medical marijuana laws right away.  You might have an edge in getting an article published or speaking on the subject.

  8. Stop those awful “pitch meetings” that you keep having. No one wants to be sold to and no one likes a fast talking blowhard. My mantra has always been “Prescription before diagnosis is malpractice.” This means that we should focus on learning about the prospect’s needs and wants before saying too much. Ask open ended questions and really try to listen. You’ll be amazed at how well the meeting goes. Plus, think about how good your presentation will be once you understand more about your prospective client’s needs.

  9. Always target and go after low hanging fruit. You may have clients, strategic partners and friends around you that could be referring business your way. Before investing huge amounts of time attending new networking events, think about your best contacts. Spending an hour calling them to set up coffee or lunch meetings will be a much better return on your investment of time and energy.  Once you’re meeting with your best contacts, be sure to ask for quality introductions. Some of my clients are amazed at how easy this was to accomplish once they actually did it.

  10. In addition to being a good attorney, it has never been more important today to be a resource for your clients. The Godfather had a consigliore, so why not be a counselor for your clients. This means helping your clients achieve their goals beyond simply doing the “work.” To have client loyalty you must go way above and beyond their expectations. I recommend finding them business, being a source of new information and investing time to know them personally.

By thinking about and using these ten tips, you can dramatically improve your practice. Whether you find, mind or grind, everyone needs to do his part in assuring your firm is successful today and well into the future. Try to select one or two of my top ten points to help guide you in your journey. Sometimes even small steps forward can produce a dramatic result for someone who is interested in learning.

Article By Steve Fretzin of Sales Results, Inc.

Copyright @ 2015 Sales Results, Inc.

Three Reasons Why Lawyers Avoid Business Development

One of the scariest things someone can do is to approach an attractive stranger in a bar and begin speaking.  While there are the limited few with nerves of steel who can talk with anyone about anything, the majority of us humans are actually intimidated by this act.  Why are some of us afraid of these conversations and others confident? How does this apply to being a lawyer and building a sustainable book of business? The ability to understand the “why” and overcome your own personal uncertainty could mean the difference between success and failure in building a sustainable law practice.

Although there are many different reasons why lawyers are so hesitant to go after new business, I would like to explore the top three that keep some attorneys awake at night.  The unfortunate truth for many attorneys is that without developing your own clients, you will not have the freedom and security that was so easily obtained 20 years ago.

Reason #1: The fear of rejection

One of the main reasons people don’t go into sales is because of the seemingly endless amount of rejection that comes with selling a service. You may recall your first experience with rejection when you were picked last for a game of kickball or when your best friend found someone new to hang out with. As you became older, someone may have turned you down at your local bar. You may have felt sick before approaching that person, and even worse when he or she wasn’t interested in your advances.  Whatever the case, you knew that you hated rejection and the way it made you feel. It’s obvious that the risk of getting rejected is something to avoid if given the choice.

There are two key elements to overcoming the fear of rejection. Unfortunately, they are not easily mastered until you’ve obtained the proper mindset. The first element is dealing with what I call “head trash.”  Head trash is the mess that you create between your two ears regarding things that you are afraid of. There’s an acronym for F-E-A-R, which stands for “False Evidence Appearing Real.” This means that you’ve built up something scary in your mind, when in reality nothing bad is going to happen. Think about the first time you went skiing or rode a roller coaster. Of course you might have been afraid—until it was over. Then you probably said, “What was I so afraid of?”

When it comes to rejection from your business development activities, the same sentence can be uttered, “What was I so afraid of?” One of the first things I do with the attorneys I work with is to get them to realize there is absolutely nothing to fear.  You’re not going to die or get hurt in any way. The rejection, if it does happen, is not personal.  The reality is that not everyone is going to do business with you. Sometimes it’s because you weren’t the best fit for them or they weren’t the right fit for you. That’s just the way it is.

Another important element to overcoming fear when selling legal services is to be very skilled at what you do. Top lawyers have an endless reserve of confidence because they know that no one else can do a better job for a client than they will. This confidence allows the fear to subside because if someone doesn’t select you, it’s his or her loss. Move on to the next opportunity, as there will be many more to come.

Reason #2: The stigma that is attached to the word “sales” and “salespeople.”

One of the main reasons why lawyers are hesitant to invest time on their business development efforts is because of the negative feelings one has towards sales. It is seen as a dirty profession. The imagery of carpetbaggers and soapbox pitchmen is synonymous with the word sales.   To make things worse, we have all been “taken for a ride” at some point in our lives, paying too much for something we were sold.

It’s possible that you chose a career in law, specifically to avoid having to sell anything.

While I have been in sales for over 25 years, I never remember saying as a child, “Gee, one day I hope to grow up to be a salesperson.”  For many millions that are currently in a sales role, it’s really a default profession.

As an attorney, you probably never thought that you would have to sell anything right?  More like “hoped.” The reality for most attorneys over 60 years old is that they didn’t have to sell. Being a good lawyer and trusted counselor was probably enough. In fact, my father retired from law in 1999 and never had to make a business development call or attend a networking event in his entire career. Well, obviously, things have changed.  Lawyers today need to control their own financial destiny by getting out there and originating new business.

As I mentioned previously, it’s important to be the best lawyer you can be. It’s also critical to have a better process for selling legal services. The old school “pitch” meetings and aggressive tactics to closing new business are outdated. The easiest way to stop the negatively charged stigma associated with sales and salespeople is to stop doing it yourself.

Think about it this way. When you enter a courtroom for a big trial, are you properly prepared?  What happens if you aren’t? All attorneys know that preparation and execution in a courtroom are paramount for success to occur. In selling legal services, it’s not that different. Being properly prepared for a prospective client meeting is just as involved as going into the courtroom.  You need to have a more relationship driven and consultative approach, to remove the salesy element from the room. Ask questions and learn about the prospective client’s needs, wants and desires. While this is easy for me to say, it’s very difficult to actually execute. We are all wired to solve problems and present solutions. It’s a constant struggle to hold back, ask quality questions and really listen to a prospective client’s issues. Just yesterday, one of my clients closed a new piece of business. At the end of the meeting the prospect said to him, “I’ve never had an attorney ask me so many questions before. You really seem to understand my problems.” That’s it! If you can change your approach to avoid being salesy, the negative stigma will also be removed from within your brain.

Reason #3: Lack of education on business development

“They never taught me this in law school.”  If I’ve heard this once, I’ve heard it a hundred times. It’s sad, but true.  Skills including networking, time management, follow-up and selling process are all learnable for attorneys. Business development can be frustrating and challenging. Without the proper education on how to plan and execute on it, you might be doomed to fail from the start.

In order to be great at something, anything, you take lessons. For example, try learning a new language, sport or musical instrument without any professional help. Not an easy road to travel.  While some people are more adept at figuring things out through trial and error, we all know it’s best to seek out the best help available.

A few ideas for finding this education include seeking out an open-minded mentor at your firm. She likely has already traveled down the wrong paths and may help you avoid those pitfalls. Another option is to study the topic of sales. If you were to read five books and get a few take-aways from each one, you will probably make fewer mistakes. Even one small positive change that becomes a habit could have a significant effect on a career’s worth of business development. Lastly, look for professional help. There are coaches, consultants and trainers locally and nationwide that may be a good resource for you. Be sure to check references and try to find someone that you can connect with on a personal level. And those legal superstars around you who seem to attract business wherever they go? They are continually fine-tuning their skills as well—in such ways as coaching, training and peer-to-peer counseling. Whichever direction you decide, it’s definitely better than wasting countless hours on marketing efforts that aren’t getting you results for your time invested.

Whether you are a new partner in your firm, a solo player or an up-and-coming associate, it’s important to understand what sales is really all about.  The best business developers today aren’t the most aggressive, pushy or salesy. They are relationship focused, confident in their skills and consultative in how they approach new clients.  Strong business developers have lost the fear of rejection, and replaced it with confidence in their skills as a top lawyer and high level solution provider in the legal field.

Article By Steve Fretzin of Sales Results, Inc.

Copyright @ 2015 Sales Results, Inc.

Part Three: Tips and Considerations (#11 – 15) before Opening a Fitness Studio or Gym

This article is the third in a three part series on tips and considerations before opening a fitness studio or gym.  For the first article (Tips 1-5), please click here.  For the second article (Tips 6-10), please click here.   Here are tips 11 -15:

open sign, fitness studio, gym

11.  Promote Your Studio Cost-effectively.  Bad news: building a membership following always takes more time and effort than fitness owners would like.  Good news: social media platforms have made marketing for fitness facility easier than it has ever been.  One common theme I see among successful fitness brands and ventures that have started within the past 5-10 years is their fierce devotion to maintaining their online brand via Facebook, Twitter, Pinterest, Instagram, Yelp and other relevant social media sources.  Social media is a proven winner on announcing sales, discounts and other relevant deals for getting potential clients in the door.  Ideally, you should start creating your social media presence about 3 months prior to your grand opening.  One word of caution: be careful not to start your online presence too early – I have had friends follow brands/new gyms online for months waiting for the studio or gym to open, only to be constantly let down at the continued delays. This leads to bad feelings from prospective clients and should be avoided where possible.  

12. Carefully Weigh Your Financing Options (Debt vs. Equity).  Most owners need outside financial support when opening a gym or club facility.  This money can come in the form of equity (people who give you money in exchange for an ownership interest in your company) or debt (bank or other third party that gives you money that must be repaid with interest).  Many people opt to take debt, as they do not want to give up any ownership or control in the company.  However, in many cases, banks and other third party lenders will not lend to an entity with no historical financials.  In the near future, the Health and Fitness Blog will have a separate blog entry devoted specifically to this topic (debt vs. equity).  Another option to finance your business is to (carefully) explore equipment financing, which is discussed in Tip 14 below.  

13. Personal Guaranties (On Third Party Debt).  Many third party lenders (banks) will also require a personal guaranty.  A personal guaranty, if drafted correctly, will make the guarantor (person or people executing the document) personally liable for the company’s debts.  When possible, an owner of the company with significant personal assets should always resist signing the personal guaranty, or at the very minimum attempt to limit the total amount of the personal guaranty.  There are a variety of techniques and methods for negotiating down the scope of the guaranty depending on the lender’s appetite for risk.  

14. The “Easiest” Financing May Be the Most Costly.  Many new business owners get frustrated with the convoluted process and length of time it takes to obtain traditional bank financing, in addition to having to sign a personal guaranty (discussed in Tip 13 above).  An alternative source of financing sometimes comes from the equipment companies, which often have affiliated financing entities that lease or sell equipment to club fitness facilities.  Be aware that while it is generally easier to obtain financing from an equipment company affiliate, the penalties for non-payment may be swift and severe.  In most cases, if you miss a payment on purchased or leased equipment, the financing source will likely have the right to charge you a default interest rate of 15-20%, and after a certain period of time, the equipment will be seized from your location (without any refund for fees paid to date in the case of purchased equipment).  Be sure to read the financing agreement closely and find out the default interest rate and equipment seizure remedies, and consult with someone well-versed in finance if you are in over your head.

15. Start Small and Work Your Way Up.  Many entrepreneurs are resistant to opening their doors until everything is just right.  These owners want all the bells and whistles in their studio or club before they start getting traffic through the door.  My advice is to avoid following the mantra “go big or go home” when deciding how much equipment to initially purchase or lease, and what wish-list items you actually install in your studio or club facility before you open your doors.  From financial perspective, open machines = negative cash flows.  In the end, it is better to start small and, as your membership grows, add treadmills, ellipticals and other equipment assuming there is additional unused space.  Also, by starting small and seeing what works and what doesn’t work, you avoid giant expenditures that are big unused eyesores in your facility (double whammy).

ARTICLE BY Aaron D. Werner of Horwood Marcus & Berk Chartered

© Horwood Marcus & Berk Chartered 2015. All Rights Reserved.

Part Two: Tips and Considerations (#6 – 10) before Opening a Fitness Studio or Gym

This article is the second in a three part series on tips and considerations before opening a fitness studio or gym.  For the first article Tips 1-5, please click here.  Without further ado, here are tips 6 – 10:

6. Location, location, location.  In my experience, poor location choice is the #1 mistake that people make when opening a fitness studio.  “Right” location consists of not only a great geographic location (i.e. high foot traffic, lots of public transportation and/or parking, ancillary businesses like Lululemon, but also the right cost per square foot.  The perfect geographic location is no longer perfect if the price per square foot is too high – especially in the first few months of operations.  Conversely, going a bit off the beaten path to secure a much cheaper cost per square foot is also crippling to a business.  You may have lower rent, but you will also have lower membership.  Working with a broker that is knowledgeable about fitness studios in the targeted area is highly recommended.  Remember, the broker is paid by the landlord, so this is virtually a free service for a prospective studio or gym owner.

7. Negotiate (do not just sign) your lease.  You have found the perfect location at a rent that works for your business model – GREAT.  The next step is the landlord (or their attorney) sending you its form Lease Agreement.  I have personally come across Lease Agreements for studios and gyms ranging from 6 pages all the way to 60 pages.  In sum, the form that is presented to you is going to be extremely one-sided in favor of the landlord and will likely need to be negotiated in a few key areas.  Some (but not all) of these key areas:

1.            Term: What is the initial term of the lease?
2.            Renewal: What are your renewal options?
3.            Rent Increases: Will the renewal terms be subject to rent increases?
4.            Condition of Space: What condition will the space be delivered in?
5.            Repairs: Who is responsible for repairs?
6.            Pass Through Expenses/Taxes: Who is responsible for these additional costs?
7.            Breach/Cure: If you breach the lease, do you get notice and time to fix?
8.            Use Provisions: Can you legally operate a gym in the space?
9.            Noise: How are noise issues and remediation options addressed in the lease?
10.          Personal Guaranty: Will the landlord require a personal guaranty?

Be sure to work with a competent attorney well-versed in leasing when reviewing and negotiating your lease.

8. Price your membership options in a way that sets your studio apart.  Get away from the mindset that you should be priced similarly with other studios in the area.  If you price like your geographic competitors (i.e. other studios charge $40-60/monthly and you price at $50/month), you are bound to get lost in the shuffle. Consumers, especially millennials, crave deals and new (disruptive) gym/studio membership pricing.  A great example of the changing dynamic of studio pricing can be seen through the business model of ClassPass, which has an easy to use app for your smartphone (more on ClassPass in Tip #10 below).  Millennials love variety and ClassPass caters to the segment of the population.  Another example is My Time Fitness in Chicago, which charges members a very low monthly fee and additional charges per daily use.  Be sure to brainstorm membership models that reward fitness and encourage members to participate in the studio or fitness community at your location.

9. Get the right kind of insurance.  Some types of insurance will be required to operate your business, while others are of the optional variety.   The hard part is determining what kinds and how much insurance to carry.  Some general categories of insurance to consider are the following:

1.            Property Insurance
2.            General Liability Insurance
3.            Crime Coverage
4.            Hired & Non-Owned Automobile
5.            Umbrella Liability Insurance
6.            Directors & Officers Liability
7.            Accident & Health Insurance
8.            Employment-related/Workers Compensation

Be sure to work with an insurance agent that is knowledgeable about the proper insurance required for the type of studio or facility you are operating.  Ask a potential insurance agent for a list of previous gym or studio clients that they have worked with, and be sure to call 1 or 2 of these clients to confirm they actually know the insurance agent and like working with him or her.

10. Run your business….like a business.  When starting a studio or a gym, it is completely natural to worry about whether or not people will actually show up and pay for a membership.  These feelings of worry often lead owners (especially first time gym and studio owners) to second guess the cost/value analysis of their membership pricing.  Owners tend to be scared of an empty gym and the message it sends to the paying members and general public, and consequently owners give away free 2 week or 1 month memberships to get people in the door.  While this is somewhat acceptable in the first month or two of operations as part of your opening marketing strategy, continuing to give away free memberships is not a sustainable business model.  Once people get something for free for an extended period of time, they often cannot bring themselves to pay for it when the free period ends.  Further, paying members will eventually leave the gym because non-paying members are taking up all of the spots in a group fitness class or on the treadmills.  Fitness Formula Clubs (FFC) in Chicago charges $20 for a daily pass; other gyms charge as much as $40/day.  People often balk at the cost to use the gym for just one day, since the monthly membership fee is generally $60-90/month.  However, when you are confident in your brand and pricing, there is no need to give things away.  To become confident in your pricing, be sure to conduct market research (i.e. talk to potential members about pricing and options).

An alternative and relatively new option for gym owners to consider is joining the ClassPass network (previously mentioned in Tip #8 above), which will increase your daily visit numbers while still being compensated for those visits.  For $79 – $99 a month (paid to ClassPass), ClassPass members get unlimited classes to dozens of studios in the ClassPass network. While ClassPass members can take as many classes per month as they would like, they can only visit the same studio up to 3 times per month. This allows potential new members to explore your gym or studio (while paying ClassPass), and if they like what they see, they may ultimately end their ClassPass membership and join your studio or gym directly.  If they do not end up joining your gym or studio, you will still receive a portion of the monthly membership proceeds from ClassPass.

ARTICLE BY Aaron D. Werner of Horwood Marcus & Berk Chartered

© Horwood Marcus & Berk Chartered 2015. All Rights Reserved.

Succession Planning: How to Hand Your Law Firm to the Next Generation

Jaffe

While conducting a year-end review of several client projects I worked on in 2014, I noticed a trend emerging. Though the types of projects and initiatives were disparate, there was a single, shared stumbling block that deterred the work from moving purposefully forward without a hitch. Whether working on new website builds, social media programs, content strategies or business development initiatives, generational and change-management issues impeded progress.

Jason P. Grunfeld, a corporate partner and head of business development and marketing at Kleinberg, Kaplan, Wolff & Cohen, P.C., spoke at the 22nd annual Marketing Partner Forum in late January. During the session titled: “The Law Firm Rainmaker Redefined,” Jason and his fellow panelists spent significant time discussing the passing of leadership roles to the next generation, as well as changes in management.

I spoke to Jason after his presentation, about the process his firm undertook to elect new leaders in various strategic roles including department chairs, managing partner, and the head of business development and marketing, and he confirmed my belief that certain practices lead to easier leadership transitions. Some of these practices include open communication amongst partners, eliminating committees to create more efficiency, having a plan and vision in place for transition and strong mentoring. All of these practices have developed over time, and are now a part of the culture at Kleinberg Kaplan.

Moving a firm from the first to the second generation of leadership is a difficult task. Generally, taking the time to develop an over-arching vision and strategy takes a backseat to day-to-day operational issues. As time goes on, marketing and business development programs, as well as other processes, can effectively grind to screeching halt.

The good news is that firms can navigate the leadership transition and change-management processes if they have focused intent. To ensure success, the topic needs to stay high on the agenda, and progress must be monitored and shared regularly. In other words, don’t let it fall off the list – even when the challenges to change are more than just logistical.

Change Is Challenging

There are two main issues involved in transitioning to the next generation and change  management in law firms:

1. How do you get founding and/or senior partners to relinquish control and power?

2. How do you get younger partners with leadership abilities to take on and focus on the role?

What’s imperative is open and honest communication – and plenty of it. Firms must address impending issues and prepare to face pushback when developing a change-management plan.

Timing is another factor. The time to plan is not when founding and senior partners are looking toward retirement. The best transitions happen when new leaders are well-mentored and work alongside their predecessors.

In some instances, leadership transition is a very emotional issue for some of the parties involved. For a founding partner who has built the firm from the ground up, the firm is part of her/his identity, so letting go is difficult. Conversely, a younger partner may experience anxiety about assuming greater responsibility. All of this must be considered and managed during the process.

Change Management for Law Firms

There are many activities your firm can implement that support open communication and facilitate the eventual changes in leadership.

Institute an exit-planning program. Develop a program that is fair and provides for the continuity of the firm. Be sure to include lead time to introduce clients to younger attorneys who have the skills to perpetuate the relationship. Consider all of the knowledge the firm will lose when an experienced attorney leaves, and make preparations accordingly.

Develop mentoring programs in all practice and leadership areas. Good mentoring cannot be underestimated. It’s one of the most significant factors in career success and the future health of an organization. Young associates are frequently assigned mentors when they first join a firm, but the “mentoring” is not monitored and thus falls by the wayside after a year or two. Make mentoring a priority at your firm so it doesn’t go out of style.

Consider leadership, business and business development skills when hiring. There are tests that can be administered during the interview process to help determine the aptitude an individual has for developing and strengthening potential skill sets. In addition, personality-type tests show natural propensities for leadership, as well as other characteristics.

Provide leadership training to appropriate personnel. When attorneys or other professionals demonstrate effectiveness in a specific area, consider providing assistance to help them excel. This will accelerate the learning curve so the firm can take advantage of their skills earlier.

Provide business development training and coaching to attorneys. As we know, a firm must continue to generate business from existing clients and bring in new clients to prosper and thrive. Most firms do not have a plethora of great rainmakers roaming the halls. Identify those attorneys with natural skills and those who have the potential for improvement, and provide the necessary training.

Make discussions about planning for the future a priority. As stated above, don’t let discussions about your firm’s future fall off the list while dealing with the day to day. If firms discuss potential future opportunities and obstacles regularly, addressing leadership changes will not be as intimidating.

Align compensation with the firm’s goals regarding future plans. I’ve heard about and worked on many different types of plans that incentivize behaviors that firms encourage. These include compensation programs for introducing younger attorneys to new clients, handing younger attorneys responsibility for existing clients and mentoring younger attorneys into leadership roles. These may sound avant-garde to some, but they have proven highly effective for many.

As the old saying goes, an ounce of prevention is better than a pound of cure. Take advantage of the tactics that can keep change management top of mind and prevent your firm from grinding to a halt. If the topic of change is giving rise to negative reactions, start with open communication. Then continue and continue until the issues are not so difficult to discuss.

ARTICLE BY

Sue Remley
OF
Jaffe