Practicing law in Brazil can be difficult due to its high level of legal complexity and the large number of lawyers in the country. The competition among lawyers is intense, with over 177 new registrations with the Brazilian Bar Association (OAB) each day.
In the past decade, São Paulo saw the establishment of 11,000 new law firms, with 30% of them ceasing operations during the same period. The primary reason for this trend is often attributed to a lack of readiness, distinguishing success from failure.
Are you ready to take charge of the legal field in the coming decade? We have compiled crucial advice to excel in the legal sector and stay ahead of competitors.
SEBRAE reports that 23% of businesses shut down within their first year due to inadequate preparation and planning. Hence, it is crucial to consider all factors that may impact customer choices when starting a company.
Keep in mind that you’re not alone. Evaluate cities, regions, services, and your surroundings. Look for a unique aspect of your business in the market. Don’t hesitate to begin, but do so with a strategic mindset. Consider if starting a business is truly the optimal choice. If it is, aim to provide a service or product that is not currently available in the market.
Advisory law is an upcoming profession due to the constant evolution of the legal sector, marked by technological advancements and the rise of Lawtechs. Recent data from Thomson Reuters Legal Business shows a significant surge of 484% in legal technology patents filed, highlighting the need for legal professionals to embrace technological trends. To succeed in this changing landscape, it is essential to not only have the traditional requirements for starting a company but also to adapt to the technological shifts shaping client expectations for speed, efficiency, and cost-effectiveness. Staying informed and aligned with the current trends in the legal field is crucial for success.
In today’s competitive market, it is crucial to differentiate your office by specializing in a particular legal segment such as Labor Law, Family Law, Constitutional Law, or Tax Law. With the increased use of the internet, people are more likely to search for services online before making a decision, emphasizing the need to establish yourself as a top choice in your chosen field.
To select your preferred area of focus, understand the requirements of your environment (physical or digital) and consider your interests in Law. Once you decide on your specialization, you will need to dedicate time to courses, lectures, reading materials, industry publications, and practical experience in that field.
To succeed in your career, it is important to have faith in your work. Identifying a niche will also determine the kind of cases you handle. Adhering to OAB guidelines, define your target audience, understand their needs and behaviors. Establish market goals for your practice and position yourself accordingly. Attract clients by demonstrating expertise in the areas they require assistance with.
Maintaining strong relationships with existing clients is crucial, and according to marketing expert Philip Kotler, resolving customer complaints promptly and diligently can significantly increase their likelihood of doing business with the company again. It’s important to note that dissatisfied customers may choose not to voice their complaints, leading to potential loss of business and negative word-of-mouth.
Law No. 8,906/1994, enacted in 2016, permits lawyers to operate individually through a single-person firm. When selecting a partner, it is advisable to exercise patience and select someone who shares your business objectives and possesses a strong professional background. Establishing a strong connection with your partner is crucial for the success and reputation of your firm in the market.
Working with a partner allows you to bring additional expertise to your business and expand the range of services you offer to customers.
In addition to having the necessary management skills to establish a business, it is crucial to be fully aware of all the expenses involved in launching and sustaining a law firm. It is essential to meticulously track and control costs related to equipment, office maintenance, rent, as well as legal expenses like reimbursements, contract cancellations, invoicing, and revenue from cases. Managing your office finances diligently is paramount, and utilizing management software is highly recommended. Developing a financial plan and projecting when you can expect to recoup your initial investment in setting up your practice is advisable.
The acronym SWOT stands for Strengths, Weaknesses, Opportunities, and Threats. It is a popular method among entrepreneurs for assessing the key aspects of a business.
In the Forces section, you can identify the distinct aspects of your office that set it apart from others and give it a competitive edge. On the other hand, Weaknesses focus on the areas where your office lacks compared to others. By combining these two perspectives, you can uncover Opportunities by understanding both the strengths and weaknesses and devising strategies for improvement. Moving on to Threats, you evaluate potential obstacles that could impede the success of your planned opportunities.
SWOT Analysis, known as the FOFA Matrix in Brazil, provides a snapshot of your business’s market position. This tool is crucial for strategic planning when starting a company, as it can aid in achieving desired outcomes and sparking fresh insights.
Starting a business may present difficulties, but with careful planning and persistence, it can lead to the desired outcomes. In the field of law, perseverance, continuous learning, and adaptability to market trends are crucial for success.
LEGAL ENTITY
The digital transformation in strategic management and intelligence for legal firms and departments is highlighted in the Journal of the Courts, which features established authors providing comprehensive resources to empower legal professionals with quick and dependable solutions.
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