Starting your own law firm is an exciting prospect for any lawyer. Having your firm gives you more independence, lets you implement ideas you want to, and most importantly, you get to deal with clients firsthand. And if you plan on starting your own, do so with a proper business plan.
But you might wonder, why do I need a business plan as a lawyer, isn’t my legal knowledge and years of work enough? The answer is no. To run a law firm you need a law degree, but to run a successful one you need a business plan alongside your degree.
After all, many lawyers are possessing the same knowledge as you do. A business plan would help you understand what sets you apart from them, and how you can market your USP to your clients. It would also help you understand the various facets of running a business. Read on to find out how can a business plan help you and how to write a law firm business plan.
How can a law firm business plan help you?
A law firm business plan can help you manage your firm better. It helps you have good finances, a well-designed operations plan, and a well-managed team.
It also helps you design strategies to reach out to your targeted customer base. It comes in extremely handy for analyzing the loopholes in your business structure. Moreover, it helps you identify your strengths and work on your weaknesses.
All in all, It can make managing your business a hassle-free and less chaotic process.
Law Firm Business Plan Outline
This is the standard law firm business plan outline which will cover all important sections that you should include in your business plan.
- Executive Summary
- Mission Statement
- Vision Statement
- Financial Summary
- 3 Year profit forecast
- Company Summary
- Business Structure
- Startup Summary
- Startup cost
- Products and Services
- Market Analysis
- Market Trends
- Target Market
- Market Segmentation
- Strategy & Implementations
- Sales Strategy
- Marketing Strategy
- Pricing Strategy
- Management Summary
- Personnel Plan
- Financial Plan
- Important Assumptions
- Brake-even Analysis
- Projected Profit and Loss
- Profit Yearly
- Gross Margin Yearly
- Projected Cash Flow
- Projected Balance Sheet
- Business Ratios
After getting started with upmetrics, you can copy this law firm business plan example into your business plan and modify the required information and download your law firm business plan pdf and doc file. It's the fastest and easiest way to start writing your business plan.
How to write a law firm business plan?
A law firm business plan would be a combination of segments common to all business plans and segments specific to a law firm. While writing a business plan it is important to take note of the fact that it is a living document that you have to keep changing over the years as the market and your business change.
Thus, make sure your plan is flexible and dynamic. Moreover, you should also consider whether your plan pays an equal amount of attention to all the areas of your business or not. A well-rounded business plan focuses equally on all segments ranging from marketing to finance.
You can easily write such a plan with either a pre-designed template on the internet or with a business plan software that lets you customize your plan as per the needs of your business.
What to include in a law firm business plan?
Including the following areas in your business plan can make it a well-rounded one.
1. Executive Summary
The executive summary forms the first page of your business plan. It acts as a pitch for your business to potential investors and should consist of the following sections.
- Objective: This gives an overview of what you wish to accomplish with your business. The objective should be clear and solve an existing problem in the market.
- Vision Statement: This should state what vision you have for your business. How do you want it to function and how far do you expect to reach with it. You can also include how your vision sits with the current market situation.
- Financial Summary: This section should ideally consist of the history of your finances and their current state. A proper financial summary helps you gain an investor’s confidence and makes it easier for your business to get funded.
2. Company Summary
Next up we have the company summary section, this segment provides an overview of your company’s structure and its functioning. This section provides a brief description of the following:
- Legal Structure: This section would describe the legal terms and conditions your firm functions on, as well as the ownership structure of your firm.
- USP: This would consist of points that set your firm apart from your competitor’s firm.
- Services: This section will include the services you offer, the legal procedures you are well versed in, all in all, the client base you cater to.
- Location: This segment covers your area of service and the location of your firm. A clearly stated area of service, helps you reach the right audience.
3. Market analysis
This segment consists of a thorough analysis of the market situation. It can be split up into the following sub-segments.
- Market Trends: This would consist of all the prevailing trends in the market. It is important to know market trends because it helps your business keep up with the evolving market.
- Target Market: This section would consist of a summary of the market you cater to. Clearly defining your niche helps you reach out to your desired customer base.
- Market Segmentation: In this section note down the segments present in the market, as well as what segment of the market your business would fit in. This would help you narrow down the number of competitors you have, the strategies you must follow, and the major and additional services you should offer.
4. Strategy and implementations
In this section, you would include various business strategies like:
- Marketing strategy You can formulate a marketing strategy depending upon your target audience and the easiest and the most effective ways of reaching out to them. It is important to formulate your marketing strategy based on your USP and your vision statement.
- Pricing Strategy It is important to formulate a pricing strategy based on the market trends, the nature of the work, and your target audience.
- Milestones This segment would consist of the various milestones your business would have to reach to achieve your goal and the strategies to help you reach them.
5. Financial Plan
The financial section would consist of the following information regarding your business.
- Financial history
- Current State of finances
- Projected Cash Flow
- Profit and loss
Law firm business plan summary
All of the above segments would help you in creating a well-rounded business plan. Starting your law firm with a well-written business plan can make your growth process faster and smoother.
So go ahead, write a business plan and get ready to scale heights in your legal career
Customize your Business Plan
All businesses are different. So, don't hesitate to customize your business plan according to your requirements. Even though our sample business plans aim to help you create the perfect presentation for your clients and investors, it is finally up to you to decide how you're going to present your ideas in the best light.
Business Plan Software
Our upmetrics business plan software can help you to customize your business plan and provides you a step-by-step guide to write your business plan. You can save your plan online and update it any time, or download it as a PDF or DOC file. You can share business plan online with investors or any other important person with upmetrics easily.