Why is hiring crucial for law firm growth?

Hiring is often the primary constraint that limits law firm growth – not marketing or business development. Once attorneys master client acquisition, the real challenge becomes having adequate staff and team members to handle the workload. Without proper staffing, firms hit a growth ceiling regardless of how many clients they can attract.

When is the right time to start hiring?

The key principle is to “Always Be Hiring.” This approach is crucial for several reasons: team members may leave unexpectedly due to life changes, firm growth creates ongoing staffing needs, and exceptional candidates may become available when you least expect it. Maintaining an active hiring pipeline ensures you’re never starting from scratch when you need to fill a position.

How can law firms find top talent through their network?

The most overlooked source of candidates is your own professional network. Create a “dream team” list of people you’d want working for your firm, even if they seem unattainable. Reach out to these individuals directly or ask them for referrals. High-quality candidates often know other excellent professionals who might be interested in joining your firm.

What’s the 20-10-5 rule and how does it help determine hiring needs?

This diagnostic tool helps assess time allocation across three key areas:

• 20 hours/week for client work
• 10 hours/week for marketing
• 5 hours/week for law firm administration

For litigators, multiply these numbers by 4 for monthly targets (80-40-20). If you’re consistently exceeding these numbers in any category, it signals the need to hire additional support.

How can small firms compete with big law for talent?

While small firms may not match big law salaries, they can attract top talent through:

• Cultural alignment and shared values
• Genuine passion for the work and clients
• Flexible work arrangements
• Additional perks (gym memberships, office pets, etc.)
• Profit sharing opportunities
• More hands-on experience
• Better work-life balance

What’s the key to sustainable hiring decisions?

Avoid hiring based solely on cost. While hiring the least expensive candidate might seem prudent, inexperienced hires require significant training investment. Instead, focus on candidates who can generate revenue quickly – typically, if they can bill 10 hours weekly, they’ll cover their costs, with additional hours generating profit for the firm.