Does your practice run like a well-oiled machine?

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If your practice was a machine you would want that machine to operate at peak efficiency. You’d want everything to work properly, needing little more than routine maintenance.

Your machine would make no sound other than the quiet hum of a well-oiled, finely tuned motor. It wouldn’t need a lot of attention, it would just work.

Your practice should be like that–no snags, no sticking points, no wasted time or money. You should know that everything is working efficiently and not be worried about it suddenly seizing up, and if there is an emergency, you should have a plan in place for that.

You create this efficiency through systems.

Your workflow should have a system. All of the steps should be documented, with all of the forms and procedure you need close at hand. You should have the right software and other tools you need, and know how to use them.

You should have an office manual that outlines all of the mundane functions of running an office, including a process for hiring and training employees, bookkeeping, billing, banking, and replenishing supplies. Your staff should know how to handle nearly everything and not have to come to you for every little hiccup and burp.

When you have all of this in place, when your practice runs efficiently and produces optimal work product and profits, you can focus on the one remaining task: marketing. Because without marketing, nothing else matters.

No marketing, no new clients, and your machine will grind to a halt.

You don’t need to have brilliant marketing, but whatever you do must be done regularly, consistently, and efficiently. You do this the same way you run the rest of your practice–with a system.

Your system should tell you what you will do this week to bring in new clients and serve existing ones. What will you write, where will you go, who will you call?

You should have the forms, the letters, the scripts, and the process at your fingertips so that you don’t have to figure out what to do, you can just do it.

Marketing should never be an afterthought, something you do when the files are running low or when you think about it and can find the time. It should be planned in advance and executed on a regular schedule.

Marketing is the fuel that makes your motor run. Keep your tank full and it will take you where you want to go.

Start or update your marketing plan with this

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I’d rather have four quarters than 100 pennies

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I love keeping things simple. But simplicity for simplicity’s sake is a foolish economy if it results in fewer or poorer results. “Leverage” means getting MORE results with less effort, or at least more results with the same effort.

A marketing guy I follow echoed my philosophy when he said, “I’d rather have four quarters than 100 pennies”. He was talking about the value of having fewer but better clients.

Fewer clients with bigger cases, or fewer clients who have more work for you and are willing and able to pay higher fees.

Fewer but better clients means you have fewer hands to hold, problems to solve, and fires to put out. It means you can spend more time and more money bringing in new clients and keeping them happy. It means you can earn more income with less effort.

That’s why I talk about letting the mass market of lawyers handle the mass market of clients, while you focus on the upper crust. Let everyone else fight over the scraps while you feast on the steak.

Unless you are especially well funded or daring, you probably won’t be able to do this immediately. But you can immediately state this as your objective and start working in that direction.

When you make it your intent to transition your practice to better clients, you start looking at the universe of clients differently. You make changes to your ads and marketing documents and websites, you start networking with a different crowd, and you do other things that affirm the new direction of your practice.

Eventually, you will embrace this new paradigm and make bigger changes. You eliminate marginal practice areas, for example, and focus on one or two. You might cut down on marketing channels or techniques and focus on the ones that are better suited to the practice you are trying to create.

You may be nervous about some of these changes. I know I was when I started turning down business. There’s a big void in your file drawer when you no longer handle anything that shows up, but if your experience is anything like mine was, you will quickly fill that void with new and better clients.

Then, one day, you’ll get your first “quarter”–a big case or client–and you’ll realize that if you can get one, you can get more. And that’s when everything will change.

This helps you create a profile of your ideal client

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What are you working on?

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What are you working on right now? I’m not referring to your regular work–cases, client work, or the daily activities of running your practice–I’m talking about something else: a project or group of projects designed to take you or your practice to a higher level.

So tell me, what are you working on?

You might be updating your website or expanding your advertising. You might be working on a new office procedure manual, updating your forms or form letters, or writing a series of emails to former clients. You might be putting together a list of names of professionals in your market you plan to call and invite to lunch. You might be working on a new presentation, an ebook, or a video.

You should always have a project you’re working on, and when someone asks, you should immediately know what it is.

There’s always something you can do to improve your marketing or the operations in your office. You can always improve your speaking, writing, negotiation, and sales skills.

So, what are you working on?

Are you learning how to get more referrals? Are you watching training videos about software you bought but haven’t used? Are you planning a meeting with your staff or partners to discuss ways to streamline the workflow in the office, lower costs, or increase profits?

You should always be working on at least one project designed to advance your skills or improve your results. And you should always have time scheduled during the week to work on that project.

You are are a professional but you also run a business. That business has many facets, many moving parts that need to be coordinated and maintained. Your business competes with other firms who do what you do and you need to stay at least one step ahead of them.

Delivering quality legal services isn’t enough. Most lawyers do that. If you want to stand out from the crowd, you have to do more.

So tell me, what are you working on?

Are you working on your website? This is what you need

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What would happen if you stopped marketing?

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A few years ago, I saw a few episodes of a program called, “Life After People”. It depicted what the earth would look like in 25, 50, 100 and 300 years (I think) if mankind was extinct.

It showed our tallest skyscrapers decaying and eventually crumbling into dust. It showed the forests overtaking our cities. It showed some animal species thriving, and others becoming extinct.

It was both a fascinating and frightening portrayal of nature reclaiming the earth, and it made me realize all of things humankind does to maintain and nurture our planet.

Thinking about this program made me think about what would happen if professionals stopped marketing. If we no longer did anything to bring in new clients and keep them happy, what would our practices look like in a few years?

What would happen if you pulled all of your advertising and stopped networking, writing, and speaking. If you never added anything new to your website, posted on social media, or sent your clients and prospects another letter or email?

What would your practice look like if you did nothing more for your clients than the legal work you were hired to do? If you did nothing else to inspire your clients to tell the world about their great experience with you?

If you stopped all marketing, what would your practice look like in a year? Five years? Ten? Would you still be open for business or would the weeds overtake you and hasten your extinction?

Just as mankind maintains the world’s infrastructure and continually creates new and better ways to add quality of life to our days on Earth, so must every lawyer maintain their practice and make it grow.

Do yourself a favor and make a list of everything you do that could be considered marketing. Big things and small things. Old things and new things. Easy things and challenging things. Making this list will help you see how much you do to keep your practice’s engine in good repair.

Then, imagine what would happen if you stopped doing these things and let the practice run on it’s own. No doubt the image you see in your mind’s eye would be sobering, even if you haven’t seen “Life After People”.

Finally, look at your list again and imagine what your practice might look like in a few years if you made a little extra effort to do the things we call marketing a little better, and found some new things you could do to help your practice grow.

And grow you must, because if your practice isn’t growing, it’s dying.

If you want a simple marketing plan that really works, get this

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It’s a blog about nothing

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Remember the Seinfeld episode where George and Jerry pitch a show to a studio head? “What’s it about?” the boss asks. With a smirk and dramatic pause, George says, “Nothing. It’s a show about nothing!”

No they didn’t sell the show. That wouldn’t have been funny. Better we should laugh at our pals and their madness.

But we shouldn’t be so quick to dismiss the value of “nothing”.

In keeping with my assertion that you can write a blog post or email about anything, or nothing, I’m going to give it a shot. I’m going to take a random idea and see if I can fill the page with something interesting and useful.

First thing that pops into my head: shopping. Here goes.

I’m not a shopper. If I go to the mall with my wife, you won’t find me trying on clothes. In the past, you’d find me at a bookstore. Today, I’ll hit a computer store, but only for a few minutes. Mostly, I find a comfy chair, read and watch people.

Basically, I do nothing.

But that’s okay. What I like to do at a mall and what my wife likes to do are different. We’re different people. One person’s gourmet meal is her husband’s poison.

We need to remember this in selling our services.

Not everyone will see the need or the value of what you offer. Some will say yes, some will say no, and some will say, “Ah, get me out of here, there’s an attorney talking!”

We must also remember that the ones who say no do it for different reasons.

One prospect may say no to your estate planning services because she thinks you charge too much. Another might say no because she doesn’t see the need or the urgency.

I spoke to a young woman recently who had a baby eight months ago. I asked if she and her husband had updated their will (knowing they probably didn’t have one at all). She told me they were going to wait until after they had a second child before doing that.

Yep, that’s what she said.

If you are an estate planner, what would you have said in response?

The point is that you need to know the different reasons prospective clients say no to your proposition and be prepared to address them. You can handle an “objection” by presenting the information as part of the pitch or on your website, etc., or you can address it when they vocalize it. (NB: it’s better to handle an objection before it comes up.)

The point is that people are different and so are their reasons for saying no. If you want to sell more of your services, you need to figure out those reasons and do something about them.

So there you go, a post that started out about nothing and turned into something. Sweet! I’m calling my buddy Art Vandelay and letting him know.

What to put on your website. 

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How to protect your referral fee when you refer cases to other attorneys

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I heard from a PI lawyer who had referred a case to another lawyer and was supposed to get one-third of the fee. When the case settled, the referring lawyer heard about it not from the lawyer who settled the case but from a friend of the plaintiff.

Not good.

Even worse, the plaintiff had another accident 4 months later. The same firm handled that case, which settled for $200,000, and they never told the referring attorney about it.

When he finally spoke with someone at the firm about the second case, the referring attorney was told that they don’t pay referral fees on “second generation cases/referrals”.

He asked if I think he’s entitled to a referral fee on the second case.

My take? In equity, maybe. In law, probably not. In the world of commerce, where screwing your referral sources is a great way to kill referrals (and your reputation), I think they should take care of you.

But they’re PI attorneys so I won’t hold my breath.

The bigger question is what to do to protect your referral fee in the future.

Two things. First, you need to have a written agreement that specifies what you get, not only on the original referral but on subsequent cases with the same client. Get this signed before you make the referral.

To be enforceable, it probably has to have reasonable limits (like a non-compete agreement), something like subsequent claims within two years of the original injury. (I’d also ask for a fee on any referrals from that client during the same period.) Ask around, find out the standard in your community. And be prepared to negotiate.

Second, your agreement should specify that you have a lien interest in these cases, and you should so notify the insurance carrier and/or opposing counsel on the first case. That way, when the case settles, your name will be on the check and they have to come to you to get your endorsement.

Your agreement can also specify a lien interest (and attorneys fees if not paid) on subsequent cases, but if you don’t know about those, it’s not as easy to protect your referral fee because you have nobody to notify of that interest until after the fact. Still, better than nothing.

And without an agreement, nothing is what you’ve got.

Hey, I’ve been there. I’ve referred cases to other lawyers and was screwed out of a fee when they settled. You live and learn.

My last piece of advice? Stay in touch with the client. Because you want him to tell you when he has another case, or he has a referral.

Be his “personal attorney” for life. His advisor. The conduit of all of his legal matters.

Think “clients, not cases”. And think about the referral as, “bringing in another lawyer,” not “referring out” to another lawyer.

I’d love to hear how other lawyers handle this subject. Please post in the comments.

Get more referrals from lawyers and other professionals: click here

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Why you need a referral system

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When you have a new client in the office, what do you say to him about referrals? Anything?

Do you give him anything to pass out to people he knows, to make referrals easier for him?

Perhaps you give every new client three extra business cards. That’s good. But when you do that, what exactly do you say? (It makes a difference.)

Most lawyers don’t have a well thought out referral system in place. They haven’t planned what they will give clients, what they will say, or when.

For most lawyers, referrals happen, when they happen. Or they don’t.

Spend some time today thinking about, and writing down, your system. What do you say (orally or by email or letter) to new clients? Current clients? And former clients?

What do you give them or send them?

Right now, if your system consists of giving new clients three business cards and saying, “Here are some of my cards, in case someone you know needs my help,” fine. Write that down. That’s your system. And any system is better than no system.

But you can do more.

Start thinking about what else you might do the next time they are in the office. Or what you might mail to them or include in your “New Client Welcome Kit”.

Write down all of the times during the case or engagement that you could do something or say something that might bring in more referrals.

Start with new clients, on their first appointment. Then consider what you can do at the end of the case or engagement.

After that, write down ideas for communicating with “old” clients.

Having a system for new clients, end of the case, and old clients, will probably put you way ahead of where you are right now, because you will have a better system than you do now.

Systems save time and make things easier. They produce better results, too, if for no other reason than they prompt you to do something on a consistent basis.

No doubt you get referrals now, but do you get as many as you want? As many as you think you could get?

If not, it’s time to create or update your referral system.

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Bad clients are the result of bad marketing

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Bad clients are the result of bad marketing.

What do I mean by bad clients? Hmm, let’s see. . . how about. . .

Malcontents who blame you for things that aren’t your fault and then post bad reviews and ratings about you.

Price shopping clients, penny pinching clients, slow paying clients, and no paying clients.

Clients who don’t follow your advice, don’t show up for appointments, and don’t remember anything you told them.

You get my drift?

Every lawyer gets the occasional lemon, but if you get more than your share, bad marketing is usually the culprit.

So what do I mean by bad marketing?

I mean targeting the wrong market, or, more commonly, no market, so you wind up with whatever shows up at the door.

I mean relying too much on Internet and advertising, which attract price shoppers and harder to please clients, instead of focusing on repeat business and referrals.

I mean failing to educate prospective clients about the law and procedure, their risks and their options, or much of anything without the meter running. Low information clients are like low information voters. They don’t understand, they don’t appreciate, and they don’t always make good decisions.

Bad marketing means talking only about features (what you do–practice areas, services, office hours, etc.) instead of benefits (what the client gets–solutions, outcomes, peace of mind, security).

Bad marketing means failing to differentiate yourself from other lawyers in a meaningful and memorable way.

It means failing to surprise and delight your clients with amazing “customer service,” and failing to stay in touch before, during, and after engagements.

Bad marketing also means taking on clients you know you probably shouldn’t, and failing to “fire” clients who prove themselves to be more trouble than they are worth.

Oh yeah, bad marketing also means doing all the right things but simply not doing them enough.

So yeah, bad clients are the result of bad marketing, but this is good news because bad marketing can be fixed and bad clients can be replaced with good ones.

Good marketing starts here

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Cheap legal services are too expensive

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I don’t buy a lot of clothing but when I do I favor quality over quantity. One reasonably expensive suit not only looks better than its cheap counterpart, it lasts longer, too. The same goes for dress shirts and shoes.

An article I read this morning agrees with me. It says that cheap clothes ultimately cost more and recommends buying quality instead.

The same can be said for cheap legal services.

You don’t want people to hire you because you’re cheaper than the other guys. You want them to say, “He costs a bit more but he’s worth every penny.” And you want them to know why.

You want people to understand the risks of hiring an attorney solely because they charge less and the benefits of hiring a high quality albeit more expensive alternative.

Like you.

Most people have a difficult time discerning this difference so it is important that you educate them. Help them to understand that cheap legal services are usually too expensive.

On the other hand, the smart play in marketing your services isn’t to target the masses and educate them about this difference. It is to target that segment of the market who already know this and are willing to pay more to get more.

Target the top 20% of your market and show them a lawyer who costs more and is “worth every penny”. Most attorneys don’t do that. They target the bottom 80% of the market and while they might not overtly compete on “price,” it’s obvious that being competitive on fees is baked into their essence.

You don’t need to be the most expensive lawyer in town, but you should at least be in the top one-third. And make sure you’re worth it.

How to write an invoice clients want to pay: click here

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Your clients think you’re getting rich at their expense

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Your clients have no idea how expensive it is to run a law practice. Is it any wonder that some clients shake their heads at $400 an hour? Can you understand why a $10,000 retainer might be incomprehensible to someone who earns $40,000 a year?

How do we get clients to understand that we’re not getting rich at their expense?

Should you tell your clients how much you actually earn? No. It’s none of their business.

Besides, you want your clients to think that you earn a very good living.  Nobody wants to hire a lawyer who is struggling to pay their rent.

But perhaps you could help your clients to understand that running a law practice is expensive, and that what you bill out in no way approximates what you take home.

One way to do that would be to take new clients on a tour of your office. Show them how many desks and chairs there are. Show them your conference room and library. Point out the computers and copy machines and other equipment. Introduce the people who work for you and describe their function.

You might also want to explain, perhaps in a letter in their “new client welcome kit,” what you and your staff will be doing for them. You might point out that at any one time, there are at least three people working on their case. You could also provide a soup-to-nuts description of the major steps you take to do what you do.

Let them know how you investigate a case, conduct research, prepare pleadings and motions and discovery, and get ready for trial. Mention something about the costs you incur on a typical case. If your work is handled on contingency, remind them that while you are good at what you do and selective about the cases you accept, there is no guarantee that you will win every case and if you don’t, you will get paid nothing.

In your newsletter, talk about the things you do to hold down costs. Talk about how the forms and templates you have developed over the years allow you to save your clients money, for example. Let them see that while you don’t cut corners, you don’t spend money unnecessarily.

At the same time, unless your clients are wealthy, don’t talk about your new Mercedes, your lavish vacation, or expensive new toys. Don’t “dress down” — you’re expected to do well — but don’t give clients cause to believe that you are indeed getting rich at their expense.

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