Category: Entrepreneurship

The Business of Law: How do Law Firms Actually Make Money?

The world of law is a seemingly confusing and cut-throat world. Lawyers are known for being cold, ruthless, and calculating. Because they have to be. In a courtroom, there is little room for error. Especially when you hold another individual’s fate in your hand.

Aside from being a tough field to work in, is it also a very lucrative field. The common image of lawyers is them on the top floor of a skyscraper, sitting in a massive corner office decorated with luxurious ornaments and a decanter filled with the finest scotch.

Shows like Suits definitely play into this idea, glamorizing the field of law and those who practice it. But a common question that we see circulating is this: How do Law Firms actually make so much money?

There are a number of different methods that a law firm uses to turn a profit, and a lot of them are very lucrative. So we are going to dive into each and break it down for you.

 

Investors

The quickest method for any law firm to get a large injection of funds is by securing investors. These investors are non-lawyers who simply want to earn a cut of the firm’s profits for themselves, without doing any legal work.

Like any company, investors buy a percentage of the firm, meaning they are partly an owner. A lot of smaller law-firms will go through the investor route to make sure they still regain control over their firm while still bringing in investor funding.

But what about lawyers who invest in a firm?

 

Partners

If you have watched any legal TV show, you will have heard this term a lot. Partners. Ever notice how most law firms’ names are a collection of the head lawyers’ names? That is what being a partner gets you.

Similar to investing, a partner gets a significant stake in the firm. They become part owners. And with it, their name gets put on the sign. In the legal world, this is a huge mark of honor and status.

But becoming a partner isn’t easy. A random lawyer cant walk into a firm and simply become a partner. Firstly, they have to be invited by the other firm partners and investors. This is why becoming a partner is so important for lawyers, it essentially means you have reached the top of your firm.

But you have to pay. Becoming a partner involves putting up a considerable investment. This amount is significant, reflecting the change in salary and power that lawyers will get with their new position.

This brings in a new wave of funds for the firm, covering their expenditures and allowing them to keep functioning. This doesn’t happen often, so it isn’t a law firm’s main source of income.

 

Retainers

There are generally two types of law firms. Those that operate on a case by case basis. And those that work on retainer. A retainer is, simply put, a massive down payment made by a client for legal services.

Much like hiring a car for a week, a retainer is paid upon signing to a law firm and it means that the firm works for you. Any charges you incur from their services are deducted from your retainer.

This is a favorable method of income for a lot of firms. It provides the firm with a solid cash injection all at once. And for a lot of clients, such as massive corporations or powerful celebrities, they will blow through their retainer quickly and continually top it up, providing a constant source of income for the firm.

 

Cases

This is the most common and well-known method for a law firm to make money. Legal fees. When you hire a lawyer from firms like Boise DUI you are paying for their legal services. Most people assume you have to have a lawyer represent you in court, but this isn’t true. You are allowed to represent yourself. This is how lawyers get away with charging a premium.

A lot of firms operating on the public level will offer what is called ‘No-Win No-Fee’ which essentially means you don’t pay them anything unless you win the case. When that happens, they often take a percentage of your pay-out from the case.

A lot of firms adopt this method as it brings in a lot of clients who need help but can’t afford it. It also puts their firm in a positive light, which is a fantastic marketing strategy.

As a side note, not all lawyers will work for a private firm. Some will work for companies directly, in their legal department. And others will work for the state.

You will have seen in most TV shows when someone is assigned a lawyer for their case, or the district prosecutor goes up against someone on behalf of the state. These lawyers get paid by the entity that hires them and most of these entities will get their funding from more traditional methods.

So, there you have it. Law firms are no different from most businesses. They have a variety of methods available to them to turn a profit. The big difference is their line of work is complex, rigorous, and stressful. Being a lawyer is tough. But the rewards for it are numerous.

We hope this guide has given you some insight into the amazing world of law.

The Modern Consumer: How to Know if a Review Site is Credible

We live in a world where you don’t just have a single option for one product, there’s a competitive market of manufacturers trying their best to reinvent and improve a number of everyday options. Due to this, there is an influx of products and very little to help a consumer distinguish between all of the options available on the market. Because of this, over the last few years, there has been an increase in review sites that have individuals collect a selection of products and give their opinions on which one they believe to be the best of the bunch.

 

These review sites are incredibly helpful as they make the process of choosing your latest purchase much easier, however, they do come with a slight issue. It can often be difficult to distinguish whether or not a review site is credible, as it can sometimes be the case that a review is just a paid promotion. However, do not worry, we have put together these following tips on how to know if a review site is credible.

 

Links

Links can be a big indication of whether or not a review is credible as they often indicate whether or not the reviewer has done their research. This doesn’t necessarily just mean a straight link to the product purchasing site, but one in which all the features and specifications of a product are included. This allows the consumer to fact check anything the reviewer has said and also research further. It also shows that they have actually looked into the product and aren’t just relaying a given list.

 

Layout

If someone really cares about their reviews, it will show in the quality of their site. Credible sites are often those that have had a lot of effort put into them, as unless it is a legitimate site, the creator wouldn’t really care about formating. There are a few things you can look out for in order to measure up the quality of the site, such as the inclusion of images. Another indication of legitimacy is whether or not the creator has put in place steps of convenience. For example, you may notice that reviews on theo-theo all have a navigation section to make it easier for the user to look at products. Once again, this extra effort put in by site creators shows that they care about their review website and so indicates a sense of credibility.

 

Lack of focus on one product

Though it is not extremely common, there are a few review pages out there that are put together simply to promote a single product. A good way to differentiate between a legitimate site and one that is dependent on paid promotion is whether or not they heavily focus on a single product. An easy way to see whether or not this is the case is actually really simple, look at the paragraph size. If the review of one product is marginally bigger than the rest but has no distinguishing features, then the site may not be entirely credible.

 

Fact check

One of the best ways to check whether or not a website is credible is to do a bit of research. Fact checks any information that they have given in the reviews, such as specifications and price. Also, look up the review site itself. A credible site is likely to have a lot of views, as that site’s opinion will be trusted much more. If you can’t get an indication of whether or not the site feels legitimate from just looking at the site itself, feel free to Google it. If someone isn’t happy with the reviews a site Is given they are bound to complain about it online, so make sure to check out reviews for the review sites themselves.

Essential Services: What Classifies A Business As Essential?

Essential Services. This is a term that has been thrown around a lot this past year. As the world has undergone one of the most drastic pandemics in recent history, Essential Workers have stepped up and provided us all with the help and support we needed. But what does the word ‘Essential’ actually mean in this context?

Of course, in the very base definition, it means a service that is needed more than any other. That much is obvious. Essential Services are ones we cannot do without. Firefighters, Doctors, and Nurses, water and power facilities. But it goes deeper than that. We are going to briefly explain what it is to be an Essential Service. The perks that come with it. And a few reasons why you don’t actually want your own business to be an essential service.

 

Security

The biggest advantage of an essential service is, of course, the security that comes with it. Essential services are regulated and maintained by legislation. This is handled at the governmental level, either for a specific country or from a collective body such as the UN.

This means the services are needed and will not shut down during turbulent times, as we have seen during this pandemic. It means those working in these sectors will still be earning a living wage and won’t be sitting idle. This is also a huge benefit to those relying on these services.

 

What Is Essential

Aside from the most obvious answers, there are a few other sectors of the business world that you might be surprised to learn are classified as essential services. An example is Pest Control. In America, very recently, pest control was deemed an essential service. This means companies like permakillexterminating or ampest are now essential.

This is fantastic, as the vast majority of these firms are privately owned and, as such, provide massive benefits to them and the local economy as well.

Supply chains are also considered essential, meaning fleets of delivery drivers, factory floor workers, and other management areas are going to be kept in work. This provides a further support channel to keep the economy afloat.

Construction is a field most people wouldn’t realize is classified as essential. Due to the vast numbers of people employed in this field, and the constant need for their services, it would be impossible for it not to receive Essential status.

Reading this, you might be wondering how being an essential service could ever be seen as negative for a business. Allow us to explain.

 

Restrictions

The legislation put upon these services works both ways. It provides security for those working, and those benefitting from the services. The biggest security point being a lot of these labor forces are not allowed to strike. This might sound extreme, but that is the price that is paid for being essential. A strike would be devastating to everyone involved.

These services are also forced to adhere to strict regulations and rules. There is no room for innovation or compromise. The red-tape is out in full force.

All of this works together to create an environment that does not benefit a lot of businesses.  It really is reserved for those aspects of society that we cannot do without.

But don’t dismay. The benefits of being a non-essential, or what is called a minimum service, are fantastic. You are supported by a lot more labor laws and the freedom to strike. You aren’t hampered by strict government regulations and have a lot more freedom and control over your business.

Why You Must Stay Positive to Succeed in Business

The world of Business is full of trials and tribulations. There are constant obstacles to overcome. Numerous challenges to rise to. And plenty of competition. Having a wealth of business knowledge is important, but it only goes so far. With real estate, location is everything. With business? It’s all about attitude. You need to be able to foster relationships, maintain bonds and keep your mind focused and on the ball. Below are a few reasons why this is needed and ways you can better tune your attitude towards success.

Law of Attraction

This is a very simple philosophy that can change the way you live and go about your business completely. It states that if you put out a positive or negative attitude to the world, you will receive back what you put out. This translates to the world of business in a few ways. Principally, if you approach your ventures with a mindset of success, then you will find success comes to you easier. If you approach your colleagues with positivity and commitment, they will respond to you in kind. And in the world of business, both these things are vital. If you visit jewelshealinggarden, you will be able to find out more about the law of attraction.

Steps to Success

Business is never a straight upwards path. There will be setbacks and failures. There are times you won’t meet your goals and you will want to give up. It is at times like these that a positive attitude is vital. When you make your goals, it is important to approach them with the mindset of success. Visualise your self-completing them. But at the same time, know your limits. Remember you are only human, and mistakes happen. But view these mistakes with positivity. They are a learning experience. Utilise them.

Analysis: Digital Businesses vs Brick & Mortal Businesses

As the digital world expands, the argument rages on. Online shopping against traditional shopping. Amazon vs the Highstreets. What is better and why? And everyone seemingly has their views and opinions. But both have their strengths, and both have their weaknesses. And it can be difficult, especially for someone trying to break into the world of business, to know which method is best for them. Below I will look at both forms of business, their strengths and weaknesses.

Digital

Digital business has many distinct advantages. Firstly it can be accessed from the comfort of the customers home. This opens up many businesses to those who might not be able to travel as easily. Accessibility is an important part of any business.

Secondly, most digital businesses are accessible all day, every day. People can go shopping whenever they feel like it without being restricted by opening and closing times.

Digital Businesses allow anymore to make money, with a variety of different methods. This url shortener allows anyone with a link to easily set themselves up in affiliate marketing and make some money. This is perhaps the biggest advantage of digital businesses.

Classic Brick & Mortar

The most obvious advantage to an old school physical shop is that you can see the product you are buying up close and personal. You can make sure it is exactly what you want and what you need. Especially for clothes shopping, this is a huge advantage.

Secondly, physical stores often provide jobs for the local communities and stimulate money back into the local economy effectively. In the current financial climate, this is an extremely important factor.

Thirdly, physical stores allow people to often create stores that wouldn’t work online. Restaurants or custom bear creating stores are great examples of things that work best with a physical location.