Thinking Of Going Solo? Avoid These 5 Common Mistakes New Lawyers Make.

Going_Solo_300x250Whether you are a new attorney or have been practicing for years, opening a solo law practice is both exhilarating and daunting. But although the learning curve might be steep, it’s definitely not insurmountable. If you plan from the start to avoid the major pitfalls that many solo practitioners stumble into, you’ll be able to hit the ground running from day one. Here are the top 5 common mistakes that needlessly occur over and over again –                                                                                           as well as actionable tips for how to avoid them.

Mistake #1: Underestimating the importance of bureaucratic organization

The ABA’s 2010 study: “The Most Common Legal Malpractice Claims by Type of Alleged Error” brought some surprising realities to light. Although it might be intuitive to believe that errors in strategy or comprehension would make up the vast majority of malpractice claims, the data showed otherwise. In fact, the mundane, bureaucratic tasks required of an attorney – things such as failing to file documents, failure to add time deadlines to a calendar, failure to know deadlines, or a failure to react to calendar entries – make up nearly twenty-five percent of the errors at issue in malpractice cases.

There is simply no reason for this. All a solo practitioner needs is a good legal case management software and they will be able to inexpensively avoid these issues. Because this type of software automates things like calendar management, court management, and docket management, you will never have to worry about something slipping through the cracks. If you don’t take this type of thing seriously, you can end up like this attorney who needlessly found himself in court for missing a filing deadline.

Mistake #2: Not making sure you have effective billing practices in place from day one

Legal billing software is another absolute must for solo practitioners. One study by the Temple University Beasley School of Law cited “not properly keeping track of their time” as the number one most common mistake by beginning attorneys. Case law is littered with examples of attorneys who have ended up fighting malpractice claims that could have easily been avoided by proper billing practices.

In fact, many billing malpractice claims arise simply from a client’s frustration at receiving a bill they did not expect. In these cases especially, it’s important solo attorneys have a well organized system that clearly shows both what fees were agreed to and what bills were sent.

Mistake #3: Marketing your new law practice in an unethical manner

Opening up a new law firm is stressful. A solo practitioner is also an entrepreneur, and the pressure to bring in new clients is intense. However, lawyers are subject to strict rules about what they can and cannot do when creating marketing material. Many people who strike out on their own let the business imperative control their marketing tactics – with disastrous results. It’s important to recognize that even something as seemingly harmless as calling yourself a “Super Lawyer” can get you sued for malpractice.

To avoid that, some of the most important things to remember while marketing your practice are the way you present your fees and to avoid making statements that guarantee success for your potential clients. If you are unsure of what you should or should to be doing, you can check out these tips published in the ABA’s “Law Practice” magazine.

Mistake #4: Not specializing in a niche practice area

When you first start a solo practice, it’s easy to want to take on any client that comes through the door. It’s natural that until you have a solid client list, the temptation is to think that any paying client is a good client. But in fact, every moment you stay mired in this mindset hurts your chances of long term success. There are several reasons why developing a niche practice is a good idea.

Beyond the positive benefits, another important thing to consider is that working on cases in unfamiliar areas of the law is very often an invitation to a malpractice lawsuit. The faster you can understand the ins and outs of a single type of law, the safer you will be.

Mistake #5: Not recognizing that your reputation is your most important asset

Opening up a solo practice is a ton of work, and just getting through the day can seem like a Herculean task in and of itself. Yet, planning for long-term success means going beyond the short-term demands and finding time to cultivate a reputation within your community. Too many solo attorneys neglect this, reasoning that they have enough to do already. But this is a poor excuse that flies in the face of good practice. The reality is that there are many easily implemented practices – such as pro bono work – that will slowly build your reputation and go a long way towards continuing success.