Opening a law office. Is it profitable to try to open a legal business? Premises in which you can open a law firm
Legal services will be in demand as long as the state exists. And no crisis will prevent this.
Employment gives a lawyer a guaranteed income, but sometimes sets a kind of bar: it does not allow personal income to grow and professional level. The solution for an experienced lawyer may be to create his own business - opening a legal consultation.
The very first step
A future entrepreneur needs to start with a sober assessment of his capabilities:
— is there enough knowledge and experience to set off on a “free swim”;
- whether there is a business qualities:
— entrepreneurial spirit in solving emerging problems;
— persistence in achieving goals;
- communication skills;
— necessary business connections;
— cash;
— technical resource (office, computer, Internet and telephone).
However, the latter is a matter of profit. If the decision to open legal advice accepted, the next step will be to register the future company as a legal entity or individual.
At first glance, a legal entity in the form of an LLC seems more prestigious. But a sole proprietor can also hire employees. In addition, several lawyers specializing in different industries rights may become individual entrepreneurs each and equal partners. This will significantly simplify reporting on the activities of the legal consultation and expand the list of services offered.
By the way, the use of the phrase “legal advice” in accordance with the law “On advocacy and advocacy in Russian Federation" in the name of an organization is allowed only if it (the organization) was created by lawyers. Don't forget about this when registering your company.
Experienced entrepreneurs advise using the simplified tax system (simplified taxation system) for reporting and paying taxes:
— 15% of profit, in this case all costs of doing business are taken into account;
— 6% of income. Expenses are not taken into account. But for legal advice they are not great, so this simplified tax system looks preferable.
Cash register or forms strict reporting will be required to account for income.
To fill out an application for registration with the State Tax Inspectorate, the classifier offers code 74.11 “Activities in the field of law.” Can add
— 74.14 Consulting on issues commercial activities and management;
— 74.18 Provision of other services.
In criminal proceedings, only lawyers can represent the interests of clients. The new law firm can only provide advice in this area.
But civil law, family law, business law and corporate law represent a wide field of activity for a lawyer. A friendly team of several narrow specialists will be able to attract different clients to the company, and therefore increase income.
Is it possible and necessary to know everything?
Specialization is vital. If changes in criminal law appear extremely rarely, then civil law is constantly changing right before our eyes. Clarifications of the Supreme Court, orders of the Ministry of Economic Development, new federal laws capable of radically changing the situation in a very short time.
Legal consultation usually begins with one or two specialists who will monitor changes in their field. It is impossible for several lawyers to cover all the rights. Therefore, it is wise to decide on the specialization of the consultation, not forgetting the need to receive a stable profit.
If you are not going to do only charity, then a bad niche would be solving problems with
- pensions;
- benefits;
- loans.
When a client has money problems, he will not be able to pay for your work at the proper level.
The next step is to determine the price of legal services. How much will it cost
— consultation;
- compilation statement of claim to court;
- representation in trial;
— execution of contracts;
- presence at negotiations.
There will always be people who want to get free advice, and sometimes a solution to their problems. A clearly defined price list for services will help, at least psychologically, solve the problem of communicating with “freeloaders.”
How to find clients?
The organizer and future owner of the legal consultation needs to resolve the issue of advertising. How will clients find out about the new company? They will help
— advertising in print media and the Internet;
— a sign on the facade of an office building and a billboard at the entrance;
- business cards and flyers.
How much do you need employees and which ones?
The presence of a manager in the office who will answer clients' phone calls and make appointments will enable lawyers to consult if necessary, to leave the premises during working hours.
Such an office manager could be a part-time student, a future lawyer, or a specialist who prefers “sedentary” work.
An experienced legal administrator will be able to
— offer the client a strategy for solving his problem;
— sign a contract for the provision of services;
— draw up a client’s power of attorney with a notary in the name of the absent specialist.
An accountant is needed on staff at a large legal consultancy. Finance and tax professionals have long appreciated the beauty of remote work. A small company can easily find an accountant who will keep records and issue payment orders to the bank, visiting the office if necessary.
If there is someone to clean the office premises, then these are, perhaps, all the necessary workers for the normal functioning of the legal consultation.
The demand for services, small investments at the start, the lack of licensing for legal advice and representation in court make this business very attractive.
Is it difficult to open a law firm? What permissions are needed for this? Where to start and how to finish it? How strong is the competition in the market? From our article you will get answers to all your questions, after which you will not be perplexed by the question of how to open a law firm.
Business Description
The law company provides paid legal services to private and corporate clients, advising on various issues: from registration organizational form before the divorce process.
The company can work in several directions:
- One-time consultations for individuals. This includes all types of law (from civil and criminal to banking and administrative), representation of interests in court and government agencies, acting in the interests of the client by proxy. The advantages of such work are the ability to quickly find customers, the disadvantages are the average and low solvency of the main target group.
- One-time consultations for legal entities. Legal assistance is provided already at the stage of company registration, upon obtaining special permits, as well as during interaction with government authorities. The undoubted advantage is high rates for services provided, the disadvantage is the possible hidden insolvency of the client (it can be more difficult to collect money from corporate clients than from private clients).
- Work with legal entities under an outsourcing agreement (subscription services). In this case, the company becomes the client’s partner, takes on all tasks related to the management of law, personnel work(registration of employees, contractual relations, interaction with government agencies). The advantage is regular payment, the disadvantages are a wide range of issues to be resolved (from the sale of real estate to appealing against illegal actions and decisions of law enforcement agencies).
- Services for individuals and legal entities under individual contracts. The premium segment of the market is private consultations for very wealthy clients. Such persons need “their own lawyers” who can be entrusted with confidential information. The advantage is high wages, the disadvantage is difficulties in finding clients.
So, a law firm must take its place in the legal services market, that is, find a niche that is more or less free from competitors. It is worth noting that new areas of work are constantly emerging in this area. For example, 3-4 years ago, registering an online store in payment terminals was an exotic service; today dozens of companies offer it.
Business target audience:
- Individuals facing legal problems. The range of potential consultations is very wide: family, civil, housing, administrative, tax law. Therefore, it is necessary to decide on a narrower target group and concentrate on certain tasks.
- Small firms in need of ongoing legal assistance. Such companies attract legal organizations under outsourcing agreements. In fact, the counterparty takes on all the legal work of the partner, establishing the principles of payment (fixed, premium).
- Medium and large companies that need one-time advice on a complex issue. Questions may arise in the field of economic, customs, and administrative law. For effective assistance Law firm specialists must have good knowledge of narrow issues.
- Small and medium-sized companies in need of a specific service. This could be purchasing equipment on lease, obtaining a loan, commercial mortgage, etc. The law firm will accompany the transaction, or select a counterparty, ensure legal security, etc.
- Foreign companies in need of representation in Russia. These clients are the most interesting, since you can get high payments from them. Foreign companies require a full range of services: registration, submission of reports, obtaining licenses, interaction with government agencies.
Is there a special procedure for opening law firms?
To create a lawyer’s education (office, board, bureau), according to the Federal Law “On advocacy and the legal profession in the Russian Federation,” it is necessary to obtain the appropriate status. Persons wishing to establish such an organization must pass a qualification exam and take an oath. At the same time, the “tests” will be more than rewarded, because lawyers have a wide range of rights and powers: representing the interests of the principal (client) in civil (criminal) proceedings, sending requests to various organizations, conducting written surveys of citizens.
In addition, to conduct private notarial activities in accordance with Part 3 of the Federal Law “On Notaries”, it is necessary to obtain a license. To count on it, you will need to pass a qualifying exam, after which you can open your own office. A notary engaged in private practice has the right to rent an office, hire employees, and keep a bank account.
A special permit, according to the Federal Law "On licensing of certain types of activities", is necessary only for conducting private detective activities (the licensing authority is the Ministry of Internal Affairs of Russia). This direction is extremely promising for such areas legal work, such as debt collection, alimony obligations, transaction support.
For other directions legal activity licenses and other special permits are not provided. Moreover: many recognized experts in the field of customs law, foreign economic activity have no higher education at all.
Finding a promising direction for work
The legal world is very wide, and there are really many areas to work here. Some firms concentrate exclusively on customs law (clearance of goods), others on the construction industry, and still others on registration services. Some areas of activity are disappearing (notarization of real estate transactions), others are just emerging (e-commerce support). Let's try to evaluate several promising areas, in currently with an average supply, and find out the potential demand for certain services.
We have identified several areas of interest in the modern market:
- Debt collection under receipts and loan agreements legal methods(preparation of claims, applications to law enforcement agencies, writing statements of claim).
- Escort enforcement proceedings(a decision, order, determination that has entered into legal force).
- Legal services in the field of construction (enforcement of the contract, claiming penalties, conducting an examination).
- Legal assistance to foreigners (application to government bodies, purchase of real estate, participation in administrative, civil and criminal proceedings).
- Assistance in obtaining a residence permit and citizenship (assistance in finding employment in Russia, registration necessary documents, escort of foreigners).
- Appealing illegal decisions of law enforcement agencies (resolutions of the Ministry of Internal Affairs, the Investigative Committee, the prosecutor's office).
Note: A relevant niche in current market conditions is protecting the rights of borrowers before lenders (for example, the StopLoan franchise).
Assessment of demand for promising areas of activity:
Main methods of promotion:
- Internet advertising. For all the areas we have identified, contextual advertising Google.Adwords and Yandex.Direct work well. The effect of marketing activities will be felt within 2-3 weeks after the launch of the project. In the medium and long term, good conversion can be achieved by SEO promotion, that is, filling the site with optimized articles.
- Participation in free consultation services. A number of popular websites for providing legal assistance to citizens allow specialists, when answering questions, to provide their contact information, that is, to advertise. But, given the lack of territorial reference (don’t even think about the vastness of Russia), getting a large number of clients will not be easy.
- Conducting trainings and seminars. To promote services such as subscription services for legal entities, as well as legal support foreign companies, organizing working meetings for managers and heads of departments is promising. You can also charge a fee for participation in thematic trainings and seminars, but this is associated with other organizational costs.
- Preparation of business proposals. When promoting subscription legal services for companies, targeted mailings will help you find clients. In the business proposal, it is necessary to outline possible cooperation algorithms and indicate the cost of the company’s services.
- "Cold calls". Most small and medium-sized companies cannot maintain their own legal department, but they encounter legal problems with enviable regularity. Targeted telephone conversations with managers will help you find clients. Moreover, such a promotion method is rarely used when selling services in the field of jurisprudence.
- Successful legal practice. Finally, the notorious “word of mouth” remains an important source of clients. The more useful the help and advice is, the more satisfied clients will share their valuable specialist with their friends.
Advantages and disadvantages of your own law office:
| pros | Minuses |
|---|---|
| Flexible work schedule | High competition |
| Arbitrary pricing | Extensive work experience required |
| A large number of spheres | Difficulties in promoting certain types of services |
| Possibility of constant expansion of the company | Psychological problems(constant contact with other people's difficulties) |
| Great amount potential clients | The need to constantly update legal framework and update legislation |
| Self-realization of a specialist | Independent search for clients |
| Ability to choose your own clients | A large number of people wishing to receive free consultation |
| Right to refuse consultation (assistance) | A license is required for certain areas of work. |
| Effective use working hours | It is difficult to find good specialists as employees |
| Minimum costs for organizing the work process | The company is responsible for the quality of services |
| Stable demand | Taking your place in the market is not easy |
Examples of successful businesses
Summary analysis of service costs
| Company name | Law Firm "Arcadia" | Law Firm "Angard" | GC "Yurliga" |
|---|---|---|---|
| City | Ulyanovsk | Ekaterinburg |
|
| One-time consultation | 1,500 rubles/hour | 700 rubles | from 1000 rubles |
| LLC registration (no state fee) | 11,000 rubles | 2,500 rubles | 7,500 rubles |
| Registration of individual entrepreneur (no state duty) | 3,500 rubles | 1,000 rubles | 4,500 rubles |
| Liquidation of a legal entity | 60,000 rubles | is not provided | 34,500 rubles |
| Drawing up a statement of claim | 9,000 rubles ( comprehensive service) | 1,000 rubles (application only) | 9,500 rubles (comprehensive service) |
So, the above companies provide similar services, but Arcadia Law Firm specializes in registration issues (formation and liquidation legal forms), Law Firm "Angard" is more focused on accessible services for individuals, and GC "Yurliga" provides a wide range of services to both private and corporate clients. Even a superficial analysis demonstrates how widely prices for work vary. It is not surprising that in Moscow the cost of services is much higher than in Ulyanovsk.
Let us add that the price of the work depends significantly on the status of the lawyer. Famous firms that serve only regular clients can charge 15-30 thousand rubles a day, or even more, for representing the client’s interests. The stakes are especially high in the field of criminal law: when a rich person faces the prospect of being in places “not so remote,” he is no longer so eager to count his savings.
In this article we will try to answer the main questions that concern those who are just about to start their own business. We know how difficult and risky this is, and we present to your attention step-by-step algorithm, following which you will hit fewer bumps at the beginning of your entrepreneurial journey:
Step 1. Market analysis and determination of specialization
Choosing a practice profile, i.e. The choice of specialization is a question that is best decided on at the preliminary planning stage. The specificity of the professional services business is that only narrow specialists are valued here, and the “general profile” inspires less confidence in a potential client. Based on this, at the very beginning of your practice, we recommend deciding on a specialization.
What types of specializations are there?
Based on our experience, as well as the experience of our Partners, you can take 2 main paths in order to decide on your specialization.
- By type of clients- servicing individuals or legal entities. The simplest type of specialization, which allows you to divide clients into 2 large groups and abandon one in favor of the other.
- By area of law- criminal, civil, tax, customs, etc. A narrower division, from a professional point of view. You can also combine and deal, for example, with bankruptcy of individuals only.
How to choose a specialization and not make a mistake?
There is no universal answer to the question of how to choose an activity profile. But there are at least three approaches to this problem, each of which is effective in its own way. Decide which parameter will be the main one for you:
- Competition.
Choose a niche with the lowest competition. To do this, of course, you will first have to evaluate the supply market in your region. - Practical experience.
Has already practical experience conducting business in court? Choose an area of law in which you can show a potential client a case study of successful cases today. - Personal preferences.
Focus on the area of law that interests you most. Yes, you can simply choose an area that is close to you, interesting, and in which you really want to develop and work. Personal attitude to work - important indicator for client.
The main difficulty in choosing a specialization in the field of professional services is that it is impossible to fully “probe” the audience by offering them a tasting or test drive of services in order to understand which area is most in demand. You must understand that, one way or another, you will have to take a risk, and time will tell how justified it will be.
From time immemorial, people turned to their smarter and more experienced brothers to help them solve various everyday and personal problems. A thorough knowledge of the laws and the ability to find a way out of the most difficult life situations first brought the experts universal respect, and then a good income.
Today, law firms remain just as in demand, and good specialists in this field continue to be highly valued in the labor market. It is these lawyers who often open their own business. Development of legal business is literally on empty space requires from a future businessman not only professional talents, but also remarkable leadership and organizational qualities, as well as competent planning skills. We will talk about how to succeed in this endeavor in this article.
Market analysis
Before you start legal business from scratch, analyze how much the labor market in your city needs such services.A lawyer, especially if he is truly a professional, will never sit idle. With proper advertising, clients will find it, even if the company is located on the outskirts of the city.
Opening a law firm does not require large expenses for an entrepreneur. He doesn't need expensive specialized equipment, a huge building or a crowd of staff.
How much does a lawyer earn?
A question that worries every specialist. What if the firm opens, but does not bring as good a profit as working in an already established law corporation? Salary individual workers this industry can reach $3,000 monthly. But, of course, everything depends on work experience, direction, as well as competition in the region.
Law is one of the most competitive professions. To achieve success you have to be very good specialist, or be able to break through. The company requires registration of an LLC, and this is paperwork, which also leaves much to be desired.
Different regions have their own characteristics related to the field of jurisprudence. Before opening a legal enterprise, be sure to clarify them. To understand.
Business plan
A business plan for a law firm is the first thing a competent aspiring entrepreneur should do. Lay out your actions step by step, estimate how much finance will be required at each stage, and then figure out where to get these same finances. In fact, getting money is much easier than managing it correctly.
The following options are possible:
- Credit (it is doubtful that the company is worth such sacrifices);
- Sale or pledge of your property;
- Debt (I believe parents and relatives will happily support if they think the company is promising);
- Opening a company by several people (team up with friends, divide the capital equally - and the financial burden will become much lighter);
- Investment (whether you manage to get government help or you manage to interest a business angel - it will still be a huge success).
Before developing a legal business, an entrepreneur goes through the registration stage.
The company must look respectable. This is one of the main levers influencing the influx of clients, so it is best to register it as an LLC. Select a tax system (payment options are 15 or 6%).
Premises: selection criteria
Before starting a law firm from scratch, find yourself suitable premises. It could be a very small office. The main thing is that it is not located on the very outskirts (until you become a lawyer known throughout the city, the firm should be located in easily accessible places). In this room you or your assistants will meet with clients, and accounting and other documentation will be stored here.It is also possible that employees will respond to customer calls directly to their homes. Then the office is needed only for meetings with clients.
Repair and equipment
Renovations are not the most important thing a start-up law firm should spend on. However, it is needed as an indicator of status. It is best if the room is decorated in neutral colors. Light walls (choose paint, wallpaper is less reliable, and it is not advisable to wash it), plastic windows, good office furniture, several plants. It’s good if there are certificates or diplomas hanging on the wall.
The equipment you will need is very little:
- Computers;
- Fax machine;
- Telephones;
- Scanner;
- A printer;
- Xerox;
- Shelves and cabinets;
- Safe;
- Tables;
- Armchairs.
Office equipment is relatively inexpensive for the company owner, but saving on equipment and repairs is not worth it. Remember, the first impression of you will be based on appearance office.
Law firm staff
A well-promoted law firm will never have a shortage of people willing to get a job, but a start-up law firm is unlikely to attract the attention of seasoned lawyers. It may be the case with young people who have recently graduated from college. How can a lawyer make money if he has neither a name nor work experience? If your company takes on the role of a springboard for budding specialists, it will provide a service not only to them, but also to the state.
You can find young workers by placing an ad on the Internet, on special websites, in the newspaper, and by directly negotiating with universities. Provide the best students with the opportunity to do internships, write dissertations, and after graduation they will find a job with you. To test their readiness, create an “entrance exam”. It is also necessary to provide for “working in pairs” under the guidance of an experienced lawyer.
In total, the composition of the team will be as follows:
- Several experienced specialists;
- Young lawyers;
- Accountant;
- Secretary (one or more);
- Cleaner;
- Security guard.
Security guards and janitors earn about $150, secretaries earn about $250, and lawyers can take a percentage of transactions as payment.
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Advertising campaign
Those wishing to start a legal business should place the main emphasis on advertising. Every company wants to attract customers, and advertising is the way to do this most effectively.
First, make yourself a website. The site must be kept in strict style and contain prices and maximum information. Entrust this matter to programmers. Run advertising on radio, television, the Internet, print out advertisements and stick them in the subway, on poles and on boards, make yourself business cards. Offer your services to large companies.
People who want to open a law firm are usually stereotyped as having to be lawyers. This is optional, just like with managers. The main thing in this matter is a tenacious grip and the ability to organize the process. Opening a company does not require any special expenses. This is interesting, useful and profitable business where you can earn income. The only real difficulty in this matter is the search good professionals. If students and beginners agree to work for not very high pay, then ready-made specialists know the value of their work. When the staff is recruited and the advertising campaign is launched, you can reap the fruits of your efforts. You will have to wait for the first clients, but if you show yourself well, then more visitors will flow in like a river.By carefully studying the question of how to open a law firm, you can avoid the mistakes of your predecessors and build profitable business.
Capital investments – from 500,000 rubles.
Payback – 1 year.
The legal profession has been considered one of the most profitable and promising for many years.
Thousands of applicants choose law as their main specialty, but not all of them find a job after graduation that suits them.
You can avoid the collapse of all hopes if you carefully study the issue, how to open a law firm.
There are plenty of private law firms in any city today, but not all of them provide quality services and can boast of having qualified specialists on staff.
If you avoid the mistakes of your predecessors, you will be able to build a profitable business.
Who should start a legal business?
There are many types entrepreneurial activity that can be done without special education.
But coming into the legal business without a special education is very brave, because you will in no way be able to control the work of your subordinates and risk one day losing your law office.
It is best to try to open a legal business to people with a legal education and work experience who are tired of working for someone else and dream of owning their own business.
If we take into account the number of law graduates that domestic universities produce annually, we see that there are enough such people.
If you have enough money for starting a business and you dream of owning your own law firm, then you can invest in it by using lawyers as employees.
Although this path is associated with certain difficulties.
For example, the inability to act as a lawyer in a criminal trial or difficulties in monitoring the quality of work of subordinates.
What types of activities should a law firm provide to become profitable?
Even before you engage in the registration procedure, decide what services your law office will provide.
To maximize profits and quickly form a client base, you should involve in your consultation lawyers who specialize in:
Legal disputes.
It often happens that the state interferes in the affairs of private entrepreneurs or another businessman, trying to snatch a tasty morsel, violates the rights of another entrepreneur.
Lawyers will be able to defend the rights of your clients in legal disputes.
Family litigation.
In the United States and Europe, lawyers specializing in family law rarely sit idle and make huge profits handling divorce, inheritance, or child custody cases.
We also have a wide field for the activities of family law specialists.
Registration procedure.
The legislation of Russia, Ukraine and other CIS countries is so imperfect, and bureaucracy and corruption flourishes so rampantly that aspiring entrepreneurs cannot do without legal assistance during, OOO or.
Criminal law.
People with money who are accused of a criminal offense prefer to pay for the services of a highly qualified private lawyer rather than settle for a public defender.
Notary services.
Registration and re-registration of property, confirmation of the accuracy of copies of documents and translations of documents from/to foreign language, issuance of certificates, etc.
Collections.
This does not mean that you will have to collect debts.
Your task is to explain to the debtor, instead of the borrower, what the consequences of non-payment of debts are in accordance with the laws of the country.
Legislation on intellectual property.
A relatively new, but very promising field for the activities of law firms.
Nuances of legal business
The first rule of business is to make money, no matter how other rules interfere with this.
Mikhail Mamchich
Figuring out how to open a law office is not that difficult, especially if you yourself are a lawyer and know this kitchen from the inside.
And yet, the legal business, like any other, has its own nuances that should be remembered:
- Competition in this sector is quite high, so you definitely need to take care of the competent formation of competitive advantages:
- payment for your services in installments;
- discounts for regular customers;
- convenient office location;
- a wide range of legal services you provide;
- acceptable pricing policy, etc.
- You can open an office that provides some specialized services, for example, specializing in family law, or you can open a law firm that will help in any matter related to jurisprudence.
Experts advise choosing the second option, although opening such a business requires large investments.
- Any law firm needs a manager who will deal with administrative issues, advertise the business, look for new clients, etc.
He doesn't have to have legal education, but you simply must be an excellent manager.
- When targeting a legal business, it is imperative to formulate a long-term strategy.
This is the only way to short terms recoup capital investments and occupy your niche in the market. - You should approach the law firm as carefully as possible, especially considering high level competition in the market.
You must not only calculate how much money you will need to open a business, focusing on prices in your city, but also conduct preliminary analysis market: count the number of competitors, find out about the solvency of citizens, what legal services are lacking, etc.
How to find clients for your law firm?
The main difficulty faced by those who are thinking about how to open a law firm is the need to quickly form a client base in order to earn money.
Indeed, with such a high level of competition and a modest average level of well-being of citizens, it can be difficult to find a way to clients.
To achieve success, the management of a law firm must act in different directions:
- Good advertising campaign.
You should:- attract the media;
- place advertisements on billboards, banners, and in public transport;
- leave your leaflets and brochures in banks, shopping centers, government agencies;
- use the Internet (contextual advertising on websites and social networks).
- Visiting potential clients with offers of your services.
These can be office centers, banking institutions, large shopping centers and much more. - Creating your own website with a list of services, prices, information about your lawyers.
The main thing is to order the creation of a website and writing texts from a good SEO specialist, because if your website remains “invisible” to search engines, then you will waste your money on it. - Cooperation on on a paid basis with those who can help you find potential clients: law enforcement officers, ship clerks, tax officers, bankers, etc.
- Word of mouth.
Your legal office should provide its services in such a way that all clients (both large and small) are satisfied.
This is the only way they will not only become your regular customers of your services, but will also recommend you to all their friends and acquaintances.
How to open a law firm: calendar plan
Opening a legal consultation office is not difficult if you yourself are a lawyer and have a sufficient amount of capital investment. In this case, it is quite possible to accept your first client within 3 months.
If you encounter certain difficulties (you won’t immediately find a suitable premises, you will be forced to look for a partner who will share financial burdens with you, etc.), then starting a business may take longer. long term: six months or more.
The optimal period for opening a law firm is 5 months:
| Stage | Jan | Feb | Mar | Apr | May |
|---|---|---|---|---|---|
| Registration | |||||
| Renting premises and repairs | |||||
| Purchase of furniture and office equipment | |||||
| Recruitment | |||||
| Website creation | |||||
| Advertising | |||||
| Opening |
Registration of legal business
As we have already found out, any person can open a law firm, even without a legal education.
A legal business is not subject to licensing, but registration is.
First, you have to choose one of the forms (IP or LLC).
Experienced lawyers still advise opening a legal consultation office as an LLC, because this provides a wider field for activity.
In order to do so, you must have a legal address.
Be sure to choose the system by which you will pay taxes.
The best option for an LLC is the simplified tax system with one of the interest rates:
- 6% of income;
- 15% of income, the rate of which is reduced from expenses.
If you yourself are a lawyer, then there should be no problems with the registration procedure - you can easily collect the required package of documents, and also prepare the premises in which you are going to open a law firm for inspections by the SES and the Fire Service.
They must give their permission to operate the office.
Premises in which you can open a law firm
You need to look not only for the ideal premises to open a law firm, but also take care of the favorable location of your office.
You can’t organize your business somewhere on the outskirts, it’s better to choose central part cities.
Also make sure that the entrance to your office is from the street - serious clients will not look for you for a long time in the courtyards.
Size office space directly depends on whether you want to open a large law firm and how many lawyers will work for you.
Let’s say you intend to open an office in which 2 lawyers would work, which means you will need a room with a total area of at least 70 square meters to equip 3 offices (for you and two lawyers), a hall with a secretary’s work area and a waiting area, a small kitchenette ( to prepare tea and coffee for your clients) and a bathroom.
Each lawyer should have his own separate office (you, as a manager, naturally, too), because attorney-client privilege must be preserved.
Even if you are renting and not purchasing a premises, be sure to make it good repair to impress serious clients.
Keep it concise business style: contrast of light and dark shades, absence of flashy colors, natural materials etc.
If you're on a budget, hire an interior designer to add some style to your office.
Equipment without which you cannot open a law firm
The list of equipment for a law firm will not be much different from any office space.
You will need desks with chairs, filing cabinets, Office equipment etc.
You also need to equip the hall with furniture (preferably sofas) where clients will wait for an audience.
You should not buy the cheapest or second-hand furniture - this may alienate financial clients.
About 300,000 rubles need to be allocated for furnishing an office in which 2 lawyers + a secretary + a manager will work, and for the purchase of equipment:
| Expense item | Qty | Cost (in rub.) | Amount (in rub.) |
|---|---|---|---|
| Total: | 280,000 rub. | ||
Computers or laptops  | 4 | 20 000 | 80 000 |
Printer (3 in 1)  | 2 | 10 000 | 20 000 |
| Air conditioner | 4 | 15 000 | 60 000 |
| Tables | 4 | 3 000 | 12 000 |
| Chairs and work chairs | 8 | 2 000 | 16 000 |
| Sofa in the reception area | 1 | 20 000 | 20 000 |
| Cabinets and shelving | 8 | 3 000 | 24 000 |
Plumbing for the bathroom  | 15 000 | 15 000 | |
| Kitchenette equipment | 20 000 | 20 000 | |
| Other | 13 000 | 13 000 |
How to open a law firm: personnel
Even if you have a legal education and are going to work in your profession, thinking about how to open a law office without involving other specialists is not very smart.
It is better for you to take on administrative and advertising functions, focusing on a PR campaign for your company and finding clients.
It is better to transfer accounting functions to an outsourcing company, whose services will cost you about 5,000 rubles per month.
For the normal functioning of a law company, you need to hire at least two lawyers, a secretary, a system administrator and a cleaner.
Payment for personnel services in small town will cost you about 100,000 rubles per month:
| Qty | Salary (in rub.) | Total (in rub.) | |
|---|---|---|---|
| 110,000 rub. | |||
| Lawyers | 2 | 30 000 | 60 000 |
| System Administrator | 1 | 20 000 | 20 000 |
| Secretary | 1 | 15 000 | 15 000 |
| Cleaning woman | 1 | 10 000 | 10 000 |
| Accounting outsourcing | 5 000 | 5 000 |
How much does it cost to open a law firm?
Getting into the legal business is not cheap.
To do this, you need to have a decent amount of capital investment, moreover, than bigger city, in which you are going to work, and the larger the office you want to organize, the higher the costs await you.
For example, to open a law firm in an office with a total area of 70 square meters, with two lawyers and a secretary in a small city (population 200-300 thousand people), you need to have at least 500,000 rubles.
To feel safe on initial stage starting a business, you should include in the start-up capital the amount necessary to pay salaries to staff, pay for office rent, advertising, etc.
Starting a legal business from scratch is not easy; it will take about six months to build up a client base.
About the features of running a legal business
also described in the video:
Is it profitable to try to open a legal business?
Legal business can be like profitable business, and ruin its owner. Everything depends only on you and on your ability to form a client base.
In fact, jurisprudence is a fairly profitable occupation, if you look at the approximate cost of office services in small cities:
But prices for corporate clients are much higher than for individuals.
What can we say about litigation?
On average, legal offices, even in small cities, can generate income from 220,000 rubles.
If you subtract the costs of running a business, the owner of the company is left with about 50,000 rubles of net profit.
Even with such indicators, it is possible to make a business self-sustaining in 1 year.
And if you form a large client base and get several large clients from large entrepreneurs, then your monthly profit will be from 100,000 rubles.
All this indicates that legal business- a profitable activity if you approach its organization with the utmost care.
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