You have to stop seeing yourself as a litigator or transactional lawyer.  Litigation leaves clients miserable and legal documents on their own are virtually worthless.

When my father-in-law died, after spending a few thousand dollars on a set of estate planning documents with his personal lawyer, I thought that lawyer must have committed malpractice because the documents didn’t work.

Why didn’t they work?

Because the lawyer completed the transaction (legal docs) for my father-in-law and never followed up with my father-in-law to make sure his assets were owned properly or that he’s legal documents stayed up to date with the changes in his life.

Divorce lawyers finalize their client’s divorces and never make sure their estate planning documents are updated.

Business lawyers put in place LLCs and S-Corporations and never make sure share certificates are issued, agreements are put in place with vendors or team members, or that the client has the right insurance in place.

Are we really helping our clients when we see them as a transaction, a case, or a matter?

No, we aren’t offering anything more than our clients would get if they went online.

So my question for you is what will you do when they realize they don’t need you?  Or has it already begun?

Please don’t tell me that you’ll deal with this by decreasing your costs and becoming a virtual law office providing unbundled legal services as seems to be the trend these days – that’s a recipe for failure unless you do it so that you are creating a killer experience for your clients that they cannot simply replicate by going online and doing it themselves.

So many lawyers are trying to compete with online companies providing “buy them as you need them” document preparation services.  But unbundled legal services, deep discounts and doing nothing but turning out reams of paper do nothing to build relationships with your clients.

It’s a one shot deal at best and doesn’t provide an ongoing revenue stream for your business.  That’s a recipe for misery and a Going Out Of Business sign (as many law businesses, even large ones, are learning).

As I learned in building my own practice to more than $1 million in revenue, the best way to keep your clients coming to you (and referring their friends and family) are to follow these 5 tips:

1.    Give away the legal documents for free. Yes, free. You’re not selling the paper – you’re selling the client YOU, your energy, your counsel, your advice.  Clients call lawyers because they need help. They want you to take care of them, to love them, to make it easy for them.  The documents are merely the by-product of the relationship.

2.    Give away free legal documents on your website to generate leads you can then build a relationship with and convert into lifetime counseling clients. As an example, we do this at http://www.KidsProtectionPlan.com where we let people name guardians for their kids for free because we know that many of those people will need a fully counseled estate plan once we develop a relationship with them.

3.    Narrow your niche.  Stop trying to serve everyone who calls or walks in your door.  It devalues your service and who you are.  Decide who you love to serve and who you do your best work for and build your business around deeply serving these most perfect clients.

4.    Create a billing structure that encourages your clients to communicate with you without fear of the cost. Most of the time, clients don’t want to talk to you because they know they’ll get a big fat bill at the end of the month.  This can keep them from telling you about significant changes in their lives or businesses.

5.    Learn to love your clients again.  Stop seeing them as cases, transactions, and matters and return to the reason you went to law school.  Connect at a heart level, whether you do it virtually or in-person.  In this new economy, it’s the only path to your success.

Related posts:

1. How Lawyers Screw Themselves and Their Clients
2. Stop Answering Your Phone and Feel the Love
3. Love, Sweet Love for Lawyers

I’ll be interviewing several of them who I believe have the answers for you as part of a telesummit I’m hosting in September.

In the meantime, I want to make sure you don’t have to wait to see how you may be putting yourself and your clients at risk so you can do something about it now.

If you are still seeing yourself as a transactional lawyer or a litigator, you are likely screwing yourself and your clients.

You are neither of these things and it’s time to stop thinking of yourself in this way.

If you see yourself as a litigator, every case that comes in is ripe for litigation.  That is NOT what is best for your clients.

In some cases, litigation may be appropriate, but in my experience litigation almost always means that even if someone wins, they lose.

If you see yourself as a transactional lawyer, you probably don’t have any sort of a real relationship with your clients. They are a transaction, a matter, a one and done.

That’s the old, outdated model that will put you out of business.

It incentives conflict escalation and a constant focus on the next new retainer.

It’s time for lawyers to begin seeing their clients not as cases or transactions or matters, but as people with a lifetime of issues they need resolved.

It’s time for you to become the trusted advisor for your clients – the person they turn to for objective guidance about hard decisions in their lives and businesses.

To do this, you need to start seeing yourself differently and help your clients do the same.

When you successfully make this transition from transactional lawyer/litigator to counselor, you will stop leaving money on the table and start knowing  you are really making a difference for your clients.

Isn’t that what you really want?

It’s certainly what your clients want and it’s only a  matter of time before they no longer need you.

Are you ready to really do it?  More to come soon.

Related posts:

1. How to Be the Indispensable Advisor Your Clients Love
2. A little creativity = a lot more clients!
3. Love, Sweet Love for Lawyers

In the beginning of your business, you are pretty much entirely focused on revenue because you are already spending as little as you possibly can.

Once you’ve got revenue going, you’ll start to notice that your expenses slowly start to creep up.

And it might feel like for every dollar of revenue you bring in, you add another two dollars of expenses.

That is not a winning proposition.

So, today I’m going to share with you three sure-fire ways to increase your revenue without adding any more overhead.

Way #1: Engage More Prospects

One of your biggest expenses is very likely to be marketing.  You are either spending a lot of money on it or a lot of time on it or both.  If you are marketing and not engaging at least 75% of the prospects calling your office, you are losing a whole lot of profit because getting your phone to ring is where all the cost is.

You’ll increase your revenue without increasing overhead if you just start hearing yes from more prospects.

Way #2:  Offer More (Expensive) Services to Your Clients

You can add more revenue to your office without adding any additional overhead by offering those clients who do say yes additional complementary services.

I did this with the Kids Protection Plan  – adding a more comprehensive form of planning for parents with minor children at home added $1,000 to my fees.

And then I found other services I could provide that my clients wanted and were happy to pay me for.

Once I figured this out, I was collecting an additional $1,000-$3,000 on each engagement with no additional overhead.

Way #3:  Get More Referrals

Every time one of my clients sent me a client, I was increasing my revenue without adding any overhead.

So, I built systems into my office that resulted in more referrals.

I always made sure my clients knew how valuable referrals were to me because I worked that into my client engagement process.  I developed a system in which I could comfortably ask for the referral without feeling strange.  And I was always publicly thankful for all referrals – whether they turned into clients or not – by acknowledging the referrer with thanks in my monthly newsletter.

Try one or all three of these and let me know how much additional revenue you make without increasing your overhead.

Related posts:

1. Four Easy Ways To Recession Proof (and Grow!) Your Law Firm
2. More Streams of Revenue For You
3. How to Be the Indispensable Advisor Your Clients Love

So, how do you do it?  How do you manage cash flow when sometimes there are more expenses at the end of the income?

It starts with awareness.

I always hit my financial objectives IF I knew what they were.

I remember how scary it was to run my business “paycheck to paycheck” so I’ve put together a few things I learned along the way.

1. Bring in more/consistent revenue – stop billing hourly, move to flat fee, and consider a recurring revenue based model. Look at how you can increase the value of each client you serve. Know the lifetime value of each client so you know what you can invest to acquire a client.

2. Recognize you are running a business and that requires investment to grow. Fortunately, in most cases and with the right knowledge, you are your best investment. Much better than the stock market.  Don’t reinvent the wheel. Invest in learning the shortcuts you can take from people who have been there and done what you want to do.

3.  Know your numbers – make sure your chart of accounts is set up well to produce the weekly/monthly reports you need to know if you are on track to meet your projections. Look at your numbers every day, if necessary.  Focus on what you want and then take the action steps to make that a reality.

4. Don’t stop marketing – look for ways to market your business every day that don’t cost much or anything at all. Do some marketing activity everyday and show the money Gods how serious you are about making money by being willing to do things that make you uncomfortable.

5. Know where the problem is and fix it. Is the problem getting your phone to ring? Getting prospects into the office once they do call? Or engaging once they get there? Solve the right problem.

6.  Worst case, manage your payables with open communication and not by hiding.  I used to think every bill had to be paid as soon as I received it, but they actually don’t as long as you are in active communication with your vendors. Don’t hide, just communicate.  Ask for longer payment terms.  Be honest and don’t be afraid to say, I’m having a hard time with cash flow and need help.  The worst thing you can do is just not pay and not communicate.  That’s where you get in trouble. And, what I know is that if you stop paying your bills and not communicating, it’s not long before you start seeing your clients stop paying their bills.

If you haven’t already downloaded my Law Business Manifesto and other practice resources, do so at http://www. LawBusinessRevolution.com.  Tell your friends.

I’ve been where you are and built a million dollar law business with the resources I give you there.

You CAN do this.

Related posts:

1. The Law Firm Entrepreneurial Map

And I had to look at why I was serving lawyers and whether continuing to do so is the best use of my time, energy and resources.

I made the decision that it was, but only if I was willing to move beyond my safe 2nd stage business and build a business that would radically
and completely change the way legal services are provided to families and small business owners throughout the US and Canada.

To do that, I recognized I’d have to deconstruct my business – release what wasn’t working and re-build on what is and was.

It’s been a difficult process and it’s far from over. But, it’s given me a lot of compassion for those of you who are not satisfied with the old paradigm and are having to deconstruct and reconstruct your law practices to create something truly meaningful.

I wrote about the three stages of the entrepreneurial roadmap on my personal blog a couple of weeks ago and saw that it can help you here too.

So, this week’s Law Business Revolution blog applies the entrepreneurial roadmap to the business of practicing law.

The Law Firm Entrepreneurial Map

The three stages of the entrepreneurial map, as it applies to your law practice transforming into a business.

Stage 1: The True Solo

Stage 1 is all about brand new-ness. It’s about the idea, the vision, and just getting started and getting it done. It’s about figuring out your revenue model (where the money comes from) and getting on the road to freedom.

Generally speaking, you are probably working alone or with a partner. There is no team support or perhaps one person helping youout on a part time basis. (When I first started, I rented office space from other lawyers and my sister sat across the desk from me, helping me out. Within about
three months, I brought in my first part-time employee.)

You have no systems. And probably just one revenue stream, which will be your main service offering. You may be taking anything
that walks through the door just to make your bills.

You are probably charging hourly or very low flat fees.

Many (most?) lawyers remain in Stage 1 indefinitely. You may feel frustrated, tired (or exhausted), and as if you are not making as much of an impact (or money) as you’d like.

Stage 2: Enterprising Entrepreneur

When you get tired of doing it all alone, you’ll bring on some team. That’s one of the major signs you’ve made it beyond Stage 1.

You’ll also begin to realize that there’s a pattern to what you do and how you do it.  Yep, you’ve got systems and processes.

You are still working pretty hard, but you begin spending more time working on your business instead of always in your business.

And you may begin to realize that you can’t take everything that comes through the door – you have to narrow your focus to serving one market or just providing services in one practice area.

Financially, you are doing okay. You know how you make money in your business and you are constantly surprised by how much money it takes to make money.  You’d probably like to keep a bit more than you are.

While you have some team support, you are the one managing the team, for the most part. You dream of the day you get to spend all your time doing the parts of your business you really love and let go of the rest.

Stage 3: Legacy Builder

When you hit Stage 3, your work will continue, even if you aren’t there to do it. You spend your time primarily working either on the business or in the business, but not both.

You are clear on who you serve and what you do for them.

If you got sick, took a long vacation or the long permanent vacation, your business would continue.

You’ve got documented systems and process, a team, and other leaders in the company besides just yourself.

The transition from Stage 2 to Stage 3 will be harder than you expect, at least that’s my experience so far.  But, it will be well worth it.

If you try to make this transition too quickly and without the right people in place, the whole thing will blow up in your face.

No matter where you are today and how far it seems you have to go on the journey, if you are in business for yourself, stop for a minute and celebrate.

You are working for yourself. You are in control of your destiny.  You are on the road to freedom.

Related posts:

1. Four Easy Ways To Recession Proof (and Grow!) Your Law Firm
2. 3 Things to Consider Before Choosing a Law Firm Marketing Provider

A few lawyers wrote me back and said that they didn’t know what kind of massive action to take. So, I want to give you a little action plan to see results happen immediately.

If you are a decent speaker, it’s time for you to get on the phone and start telling everyone you know that you are available to come out and speak to their group.

If you are not seeing enough clients and do not have the money to do paid marketing, you must take control of the situation and get yourself out there and speaking. And don’t sit back and wait for the speaking engagements to show up or rely only on someone else to book them for you.

Do not just try one thing, see if it works, and then try another. Do everything. All at once.

When I was building my practice, I was on the phone constantly lining up speaking engagements. Eventually, I had someone else do that for me, but not in the beginning. In the beginning (when I didn’t have any money) I did it myself. After hours, before hours, during hours. I busted my butt to make sure I did what was necessary to get me in front of the people I needed to speak to about my services.

So, if you are struggling, ask yourself … am I doing everything I can to get myself out there speaking to as many people as possible for free? Am I on the phone in every free minute of my day with local groups in my community such as:

* Church groups
* Daycares
* Preschools
* Senior Centers
* Private Schools
* Public Schools
* Moms Groups
* CPA Groups
* Real Estate Agents Offices
* Title Officers
* Mortgage Brokers
* Chambers of Commerce
* Community Centers
* Rotary Clubs
* Business groups

I could go on and on.

There was even one time I went out to speak to a group of women (I think it was some sort of an alumni group), which consisted of 4 little old ladies who would get together for coffee on a monthly basis.

I would show up anywhere they would let me come and speak. Sometimes it paid off, sometimes it didn’t.

But, here’s what I can tell you, the more I did, the more my phone rang and the more clients I got.

One of the Personal Family Lawyers who has been with me since 2007 just came back from taking a few months off to have her baby and she is booked all the way through April with 13 new client appointments in March and 21 speaking engagements between now and June. Why? Massive right action before she went out on leave to have her baby. You can do it too.

So if you are struggling, don’t just sit there and wait until you get pulled under the water hoping someone comes and rescues you; do something and do it now!

Next week I’m going to talk to you about the logistics of getting maximum results from your speaking engagements, but in the meantime, pick up the phone and get yourself booked in front of a group. We’ll pick up here next week.

Related posts:

1. Are You Maximizing the Opportunities From Your Speaking Engagements?
2. 5 Key Strategies in Setting Up Your Local Marketing Mastermind Collaborative

I just had a laser coaching session with a lawyer last week who told me she didn’t want to build the kind of practice I had because she wanted to keep her fees low.  After talking with me though, she was able to see that not valuing the services she provides isn’t going to help her help more people, it’s going to run her into bankruptcy.

It’s heartbreaking to watch so many lawyers go out of business or not bring home enough bacon simply because they get trapped into thinking about their pricing the wrong way.

When you differentiate yourself based on price, you simply cannot provide value.  You end up competing on the wrong basis.

While price competitors have been in operation since beginning of time, it’s important to understand that if YOU want to build a sustainable, scalable and one day SALEable law business, a core foundational piece of that puzzle is that you are charging enough.

Is that possible in this economy?  Absolutely.

Let me shift your thinking outside the legal world and into the business world for a moment.  Stores that offer super low prices like Wal-Mart and Target are thriving in this economy.  So with that logic, you’d expect high-end stores like Nordstrom or Sacks 5th Avenue to be out of business right now…but they’re not.  In fact, Nordstrom’s profits more than doubled in the quarter ending Jan. 30 according to the WSJ.  Luxury cars like Mercedes and BMW also reported profits last year despite the fact that “no one has money to spend.”

And lawyers doing things the PFL Way are thriving, while charging much higher fees than their “competitors”. How can that be?
It’s simple, really.  People DO have money to spend… you’re simply not doing a good enough job showing them that your law firm is the best place to spend it.

You see, it’s all about the value.  And I’d suspect that you are not clear enough on the value you provide to convey it to your prospects.

This isn’t “blind theory” or Alexis Martin Neely’s random thoughts on life either.  I’ve done it, our Personal Family Lawyers® and Creative Business Lawyers™ are DOING it and so are millions of other small business owners/ entrepreneurs in this country right now.

So how are they doing it?  Here are some things you can do right now:

1. Stop Acting Like a Commodity.

Your prospects have no way to know if you are the best lawyer for them.  To regular folks, all lawyers are the same.  So when you compete on price, you’ll get price shoppers galore who see you as just like everyone else.   But, you are not like all the other lawyers, are you?

So, what makes you different?  And how do you show that to the marketplace?  That’s what you need to focus on and show the world.

2. Identify the Value of the Outcome You Provide.

Why can Nordstrom’s charge higher prices for products found elsewhere (i.e. cars, purses, ties, shoes)?  It’s because of the VALUE they’ve attached to their brand (i.e. social prestige, enhanced customer service, increased self-esteem).   They’ve moved themselves out of the commodity market and into the heart, emotion and primal urges of their clients.   You need to do the same thing in your law firm.  Yes, Mr. Customer can get an estate plan for $399 or set up their LLC for $750 or a bankruptcy for $1125 down the street, but what are they NOT getting when they work with that other firm or even worse go online to do it themselves?

3. Move Beyond the Billable Hour

There are only so many hours in a day and you’ll reach an income plateau very quickly when you are billing by the hour. Not to mention that you have to start every month over at zero and there’s absolutely no stability in that.  No matter what practice area you are in (with the exception of contested matters), you can begin billing on a flat-fee/value basis.   If you’re scared to shift, just think of the VALUE your customers will experience having an attorney using flat fee billing.  They won’t be nickel and dimed for every phone call, email and fax that comes through the office.  They can communicate with you as they wish without fear and they can pick their price point of choice if you have membership options.  And believe me, people are willing to pay more for certainty every time.  It’s a win-win for them– and it’s very much a win-win for the health/sustainability of your law firm.

Remember this:  People still have money to spend… even in this economy.  And they NEED your services.  It’s up to you to convey the intrinsic value of working with you (even at a higher price point) to command the income level you want…and rightfully deserve…this year.

PS- If you serve small business owners and want more information after reading this article on how you can participate in our Creative Business Lawyer Program and serve the entrepreneurial/business owner market using flat-fee, membership-based billing and differentiate yourself from all the other business lawyers out there, mark your calendar for March 18th at 12pm PT/3pm ET.  More details coming soon!

Related posts:

1. It’s Not the Economy; It’s the Experience
2. Give Your Clients the Red Carpet Treatment to Succeed in This Economy
3. What Your Legal Fees Say About You…And How You Can Change That

According to the results, you are frustrated and tired of begging for business and struggling to turn a profit in your small and solo firms.  The statistics show 23% of lawyers surveyed made under $50,000 last year, while 40% of lawyers surveyed felt “very dissatisfied” with the amount they made in 2009.

A large majority also expressed dissatisfaction with the amount of time they wasted on tire kickers, price shoppers and clients who refused to pay their full fee…and quite frankly, what you know you are worth.

That’s a hard pill to swallow, especially after spending up to six figures on your law degree.

The most unfortunate part, however, is how many of these lawyers did do the right things in marketing their practices last year.   99% of lawyers surveyed tried at least one form of advanced marketing (if not many forms) and still failed to see consistent results or good ROI from their efforts.  As you can imagine, these attorneys were off the chart when it came to feeling “very dissatisfied” with their marketing efforts and practice as a whole.

But, here’s the important thing for you to know … the lawyers who felt “very satisfied” with their marketing, practices and income last year all had one thing in common:

They were not just relying on one source of business; instead, they had an automated marketing system to consistently market using a diverse set of strategies without fail-even (especially!) when times got tough.

A good client attraction strategy is like having a diversified investment portfolio.  When one sector bombs, your stock in an unrelated sector shields you from huge loss.  The same holds true with your marketing.  You want to have an integrated and coordinated marketing system set up so that if one source temporarily dries up, it doesn’t affect you.

I’m sure some of you are thinking, “Wow, that’s got to be expensive …I can barely afford to run a nice big ad in the yellow pages, let alone do all this marketing you’re talking about”.  The good news though is that some of the best strategies are low-cost or even no-cost provided you put in the time to set up the system to begin with.

The great news about a system though is that once it’s set up, it’s good to go and will produce consistent, reliable and predictable results for you on an ongoing basis.

So, what does an integrated, coordinated, automated system look like?

I laid it out in detail on this call I hosted.  Listen to it here .

And if you are ready to get your integrated, coordinated, automated system in place for 2010 and beyond, join us for our 2-day virtual event . It will change everything for you. I guarantee it.

Related posts:

1. Looking to grow your law practice? This is your best investment in any economy
2. Law Practice Managment Debate: Is 2 Days a Week Really Possible?
3. 20 new clients with no legal marketing cost?

If you enjoy speaking and are decent up in front of a crowd, your marketing plan should include regular speaking engagements from which you’ll be able to convert attendees into clients.

Too many lawyers aren’t using speaking at all to build their firms.  And the few of you who are, are often spinning your wheels spending a lot of time without a lot of return on your investment.

That’s because there’s a lot more to putting on a successful speaking engagement than just booking a venue (or finding someone to host you) and writing out talking points.

On the flip side, when you know how to speak strategically, it’s a lot easier than anything you are doing right now to market.

So what steps can you take to ensure you’re truly making the most of your speaking opportunities?  Try the following:

Before the event:

• Have a special phone number or web page where people can register in advance.  This is your first chance to capture contact information and get a rough idea as to how many people will be in attendance.
• If you’re collecting information by phone, be sure your team logs everything into your database or on a spreadsheet so you can readily access the data a few days before, and after the event.
• Be sure to let people registering for the event know you’ll send a reminder before the event and that they’ll begin to receive your weekly email newsletter as well.
• Send a friendly reminder of the event 24-48 hours in advance by email and strongly consider having someone in your office make a phone call as well.
• Strategize the offer you’ll make during the speaking event (this does not have to mean you are selling something. Your offer can be for a very high value something, like an article, a report, or even an appointment with you that you give away.)
• Collect the contact information of anyone who wants your free giveaway (this can be done as simply as having people hand you their cards if it is a business event, or you can use a form you’ve created or even simple index cards).  These people are all leads who have raised their hand to tell you they may need your services down the road.

Of course, your fortune with these fresh leads (or prospects if they’ve made an appointment to meet with you) is in the follow up.  Next week, we’ll cover exactly how to follow up to convert these leads and prospects into money in the bank.

In the meantime, you may want to check out my most recent article on lawyerist.com. You can read it here:http://budurl.com/pc28

Related posts:

1. Are You Maximizing the Opportunities From Your Speaking Engagements? Part 2
2. How EVERY Practicing Attorney Can Generate Income Through Speaking Engagements
3. The Key To More Client Referrals

You may be wondering, ‘Is my practice next?” “How long will this last?” “Can I afford to ride out the storm?”

Here’s the good news about the economic shakedown:

I don’t want you to believe a word I’m saying here. I want you to test it out in your own business. I know it works because it’s what turned my law firm into a million dollar business within three years and has my Personal Family Lawyers and private coaching clients doubling and even tripling their income right now by making a few fundamental shifts in the way they do business.

And the really good news is that it doesn’t have to take a whole of time, effort or money to make this shift in your business. But, the return on your investment will be phenomenal.

So what does high concept/high touch look like in your law firm?

Essentially it means creating a WOW experience that appeals to all of your prospect’s or client’s senses, not just their minds.

There’s a new business model emerging as a result and if you are prepared to embrace what client’s really want . . . high concept / high touch and interaction, you will completely differentiate yourself in the marketplace and your business will thrive.

Try some of these out in your practice:

Continue reading Alexis’ guest article on Lawyerist.com……

Related posts:

1. The Power of Raving Fans
2. 3 Keys to Raising Your Fees In ANY Economy
3. It’s Not the Economy; It’s the Experience