For lateral candidates, preparing a strong business plan is a crucial step in demonstrating value and ensuring alignment with the new firm’s strategic goals. This article discusses the components of a partner business plan, their importance, and best practices to create one. We’ll also draw on insights from real-world examples to highlight what law firms prioritize when evaluating lateral candidates.
Why Business Plans Matter for Partners Moving Between Firms
When partners transition to a new law firm, they are evaluated not just as lawyers but as business leaders. Law firms want to see a clear return on their investment. A business plan accomplishes several things:
1. Demonstrates Value: The plan outlines a partner’s existing client base, revenue generation history, and strategies to expand the book of business.
2. Shows Vision and Strategy: Firms want partners with a plan to build their practice, acquire new clients, and contribute to the firm’s growth.
3. Facilitates Internal Alignment: A business plan allows the hiring firm to assess how the partner’s practice aligns with its existing strengths, client base, and strategic initiatives.
4. Reduces Risk: The firm can evaluate potential gaps, conflicts, or weaknesses early on.
5. Provides a Roadmap for Success: Beyond the hiring process, the business plan serves as a tool for the partner to hit milestones and achieve measurable goals.
A carefully developed business plan isn’t just about making a lateral move—it’s about setting the stage for long-term success in a new environment.
Key Components of a Strong Partner Business Plan
A comprehensive partner business plan typically includes the following sections:
1. Business Development Goals
Firms look for clear, actionable goals that show the partner’s ability to develop business. These goals may include:
- Number of new clients to be acquired annually.
- Expanding business from existing clients.
- Building referral relationships.
Example Goals (from real plans):
- Write three articles annually to enhance visibility.
- Speak at two industry events to connect with prospective clients.
- Contact four “loose tie” referral sources monthly to deepen professional networks.
Why It Matters: Specific, measurable goals demonstrate initiative and accountability—qualities firms value in a business generator.
Firms want to see hard data that indicates a partner’s past success and future potential. Partners should include:
- Billable Hours: A history of billable hours and targets moving forward.
- Revenue Generation: Annual collections, categorized by client.
- Profitability: Contributions to firm profits beyond individual revenue.
- Projections: Expected financial contributions over the next three years.
Example Data:
- 2010 Billable Hours: 2,100 | 2011 Target: 1,800
- Annual Client Revenue Goals: Secure two new clients contributing $200,000 annually.
Why It Matters: Firms want candidates who are financially strong and capable of sustaining or growing their business contributions.
3. Client Relationships
The most important asset a lateral partner brings is often their “book of business.” A business plan should provide:
- A list of key clients, including annual revenue generated.
- Areas of potential growth within existing clients.
- Strategies for cross-selling additional services.
- Prospective clients and industries targeted for future growth.
Example:
- Existing Client A: Annual revenue: $500,000. Opportunities: Employment and IP matters.
- Target Client B: Identified contact; strategy includes attending industry-specific events and direct outreach.
Why It Matters: Law firms want to see a portable and loyal client base, as well as plans to expand business.
An effective partner doesn’t just serve clients—they build their professional profile. Firms look for candidates who actively contribute to their personal brand and the firm’s reputation. Key areas include:
- Writing and publishing articles.
- Speaking engagements at industry or bar association events.
- Developing a strong online presence via LinkedIn, Twitter, or industry blogs.
Example Initiatives:
- Write articles on employment law topics like “Preserving Electronic Evidence.”
- Increase LinkedIn connections to over 500 within six months.
- Attend bar association events and leverage speaking opportunities.
Why It Matters: A strong professional profile attracts clients and elevates the firm’s standing in the legal community.
The business plan should emphasize strategies to build and nurture relationships:
- Existing Clients: Expanding services offered and strengthening personal connections.
- Referral Sources: Identifying new referral opportunities and solidifying existing relationships.
- Potential Clients: Strategies for outreach, such as targeted networking events, personalized mailings, or online engagement.
Example Strategies:
- Organize a client appreciation event to foster deeper relationships.
- Build referral networks by attending civic or trade association meetings.
- Develop a tickler system to ensure regular contact with key clients.
Why It Matters: Business development often hinges on relationships. Firms want to see a partner’s ability to grow and sustain connections that drive revenue.
6. Continuing Education and Improvement
Partners who invest in professional growth and industry knowledge are more effective in delivering value. The plan should include:
- CLE (Continuing Legal Education) goals.
- Leadership or management training.
- Strategies to stay current with industry trends or client-specific developments.
Example Initiatives:
- Attend an ADA seminar and use the material for client primers.
- Study top clients’ businesses using resources like Google Alerts.
- Invest in management training courses such as “Seven Habits of Highly Effective People.”
Why It Matters: Firms value partners who stay ahead of trends and continuously improve their skills.
Best Practices for Creating a Successful Business Plan
1. Be Specific and Actionable: Include concrete goals, metrics, and timelines. Vague aspirations won’t inspire confidence.n2. Demonstrate Self-Awareness: Address your strengths, areas of opportunity, and strategies for overcoming challenges.
2. Align with the Firm’s Strategy: Research the hiring firm’s practice areas, industries served, and growth plans. Tailor your business plan to show how you’ll contribute to these goals.
3. Show Tangible Value: Use financial data and client examples to quantify your past successes and future potential.
4. Focus on Relationships: Highlight your ability to deepen relationships with existing clients and build new ones.
What Law Firms Look for in Lateral Partner Candidates
From reviewing real-world business plans and understanding lateral hiring practices, the following factors stand out as critical to law firms:
- Portability of Business: Will clients follow you to the new firm? Firms prioritize partners with a proven and portable book of business.
- Revenue Potential: Firms assess your existing financial contributions and realistic future growth projections.
- Strategic Alignment: Does your practice complement the firm’s existing offerings and goals?
- Profile and Reputation: Firms value partners who elevate the firm’s brand through writing, speaking, and community involvement.
- Commitment to Development: Strong partners don’t rest on their achievements. Firms want candidates who continually grow their skills, networks, and contributions.
Conclusion
A partner business plan is a powerful tool for lateral candidates moving between law firms. It serves as both a pitch to prospective firms and a personal roadmap for success. By showcasing financial contributions, client relationships, and business development strategies, candidates can demonstrate their value and align with the hiring firm’s goals.nnFor law firms, these plans reduce uncertainty, highlight potential, and ensure that lateral hires will drive growth and profitability. Whether you’re preparing for a lateral move or planning your long-term strategy, a thoughtful and well-crafted business plan is essential to positioning yourself as a leader and business generator.nn---nnIf you'd like further assistance crafting your business plan or fine-tuning your lateral strategy, let me know!"
About Harrison Barnes
Harrison Barnes is a prominent figure in the legal placement industry, known for his expertise in attorney placements and his extensive knowledge of the legal profession.
With over 25 years of experience, he has established himself as a leading voice in the field and has helped thousands of lawyers and law students find their ideal career paths.
Barnes is a former federal law clerk and associate at Quinn Emanuel and a graduate of the University of Chicago College and the University of Virginia Law School. He was a Rhodes Scholar Finalist at the University of Chicago and a member of the University of Virginia Law Review. Early in his legal career, he enrolled in Stanford Business School but dropped out because he missed legal recruiting too much.
Barnes' approach to the legal industry is rooted in his commitment to helping lawyers achieve their full potential. He believes that the key to success in the legal profession is to be proactive, persistent, and disciplined in one's approach to work and life. He encourages lawyers to take ownership of their careers and to focus on developing their skills and expertise in a way that aligns with their passions and interests.
One of how Barnes provides support to lawyers is through his writing. On his blog, HarrisonBarnes.com, and BCGSearch.com, he regularly shares his insights and advice on a range of topics related to the legal profession. Through his writing, he aims to empower lawyers to control their careers and make informed decisions about their professional development.
One of Barnes's fundamental philosophies in his writing is the importance of networking. He believes that networking is a critical component of career success and that it is essential for lawyers to establish relationships with others in their field. He encourages lawyers to attend events, join organizations, and connect with others in the legal community to build their professional networks.
Another central theme in Barnes' writing is the importance of personal and professional development. He believes that lawyers should continuously strive to improve themselves and develop their skills to succeed in their careers. He encourages lawyers to pursue ongoing education and training actively, read widely, and seek new opportunities for growth and development.
In addition to his work in the legal industry, Barnes is also a fitness and lifestyle enthusiast. He sees fitness and wellness as integral to his personal and professional development and encourages others to adopt a similar mindset. He starts his day at 4:00 am and dedicates several daily hours to running, weightlifting, and pursuing spiritual disciplines.
Finally, Barnes is a strong advocate for community service and giving back. He volunteers for the University of Chicago, where he is the former area chair of Los Angeles for the University of Chicago Admissions Office. He also serves as the President of the Young Presidents Organization's Century City Los Angeles Chapter, where he works to support and connect young business leaders.
In conclusion, Harrison Barnes is a visionary legal industry leader committed to helping lawyers achieve their full potential. Through his work at BCG Attorney Search, writing, and community involvement, he empowers lawyers to take control of their careers, develop their skills continuously, and lead fulfilling and successful lives. His philosophy of being proactive, persistent, and disciplined, combined with his focus on personal and professional development, makes him a valuable resource for anyone looking to succeed in the legal profession.
About BCG Attorney Search
BCG Attorney Search matches attorneys and law firms with unparalleled expertise and drive, while achieving results. Known globally for its success in locating and placing attorneys in law firms of all sizes, BCG Attorney Search has placed thousands of attorneys in law firms in thousands of different law firms around the country. Unlike other legal placement firms, BCG Attorney Search brings massive resources of over 150 employees to its placement efforts locating positions and opportunities its competitors simply cannot. Every legal recruiter at BCG Attorney Search is a former successful attorney who attended a top law school, worked in top law firms and brought massive drive and commitment to their work. BCG Attorney Search legal recruiters take your legal career seriously and understand attorneys. For more information, please visit www.BCGSearch.com.
Harrison Barnes does a weekly free webinar with live Q&A for attorneys and law students each Wednesday at 10:00 am PST. You can attend anonymously and ask questions about your career, this article, or any other legal career-related topics. You can sign up for the weekly webinar here: Register on Zoom
Harrison also does a weekly free webinar with live Q&A for law firms, companies, and others who hire attorneys each Wednesday at 10:00 am PST. You can sign up for the weekly webinar here: Register on Zoom
You can browse a list of past webinars here: Webinar Replays
You can also listen to Harrison Barnes Podcasts here: Attorney Career Advice Podcasts
You can also read Harrison Barnes' articles and books here: Harrison's Perspectives
Harrison Barnes is the legal profession's mentor and may be the only person in your legal career who will tell you why you are not reaching your full potential and what you really need to do to grow as an attorney--regardless of how much it hurts. If you prefer truth to stagnation, growth to comfort, and actionable ideas instead of fluffy concepts, you and Harrison will get along just fine. If, however, you want to stay where you are, talk about your past successes, and feel comfortable, Harrison is not for you.
Truly great mentors are like parents, doctors, therapists, spiritual figures, and others because in order to help you they need to expose you to pain and expose your weaknesses. But suppose you act on the advice and pain created by a mentor. In that case, you will become better: a better attorney, better employees, a better boss, know where you are going, and appreciate where you have been--you will hopefully also become a happier and better person. As you learn from Harrison, he hopes he will become your mentor.
To read more career and life advice articles visit Harrison's personal blog.
