Lateral partner and partner group hires can provide a significant source of potential revenue growth for law firms by creating opportunities for new services, new clients, and expansion into new markets. Many law firms believe lateral hiring is their most effective growth strategy and that is why competition for lateral hires is so fierce today.
On the candidate side, in the last several years, there has been more lateral movement and less loyalty to firms among partners. Lifers at law firms are an endangered species. Additionally, half of the Am Law 200 firms have enacted mandatory retirement for equity partners, creating opportunities for a growing number of attorneys who still have significant business and are not ready to retire from law firm life.
Another market shift is partners are not moving solo or even in small groups. Group size has increased from what was typically one to three attorneys – including associates – to what was the largest move in 2024 when 47 attorneys…of which 30 were partners…changed firms. Double-digit-sized groups are no longer the exception and are often the ‘rule.’
After 25 years in the lateral search business at two leading search firms, overseeing hundreds of deals and placements a year, I’ve seen battles for talent won – and lost – because of what some might consider ‘little’ things. But often it’s the little things that matter most, especially when it comes to human relationships, which is what winning the talent acquisition war is all about.
So, here are some proven strategies I have seen and successfully employed to help firms secure lateral talent that leads to growth and greater revenue.
WHAT’S YOUR SELL? IS IT THE SAME OLD, SAME OLD?
Does your firm have a compelling, persuasive, and unique ‘sell’ that is exceptional and does not rely on, or directly mention, any of the three Cs: Collaborative, Culture, or Compensation? Every firm says it is competitive on the comp side, collaborative internally, and has a terrific culture. Then the follow: “Every firm tells you they’re collaborative, but we really mean it.”
Your sell needs to be distinctive, powerful, palpable, and convincing,
URGENCY IS KEY
Does your firm exhibit a sense of urgency throughout the interview process? Is the process controlled and managed by partners, management professionals, and supporting staff who know how, or were trained, to recruit and interview well? I have lost count of the number of times a firm missed out on a significant hire (they truly wanted!) because it took too long to respond or didn’t keep the process moving, i.e., quickly setting up critical subsequent interviews.
Three months is the rule of thumb when evaluating how long the process should take, keeping in mind these acquisitions are competitive and candidates are often considering other options. To be sure, if the candidate or group is desirable to your firm, they are very likely appealing to – and being courted by – other firms.
If you are interested, you MUST be proactive to increase your chance of success. Demonstrating genuine interest gives your firm a real advantage; it does not make your firm appear desperate as some fear.
EVERY INTERVIEW IS AN OPPORTUNITY
Does your firm treat each interview as an opportunity to sell its uniqueness? Interviewers need to speak honestly and personally about what they like most about the firm. Especially in today’s very connected society, whether candidates are accepted or rejected, they will speak to their network about the experience. It’s important to make each candidate feel important and respected throughout the process. They wouldn’t (shouldn’t!) be at the interview stage if the firm doesn’t see potential, so it’s best to act as if the candidate is your revenue ‘future in waiting.’
MAINTAINING CONFIDENTIALITY
A critical factor firms don’t always practice regarding laterals – but one that can make a huge difference as to whether a candidate or group joins the firm – is confidentiality. A fundamental, underlying principle of the entire legal profession is confidentiality, and it’s extremely important for firms to maintain this as well as discretion at all costs when speaking to potential laterals. Too often, a firm carries on its own ‘back channel’ due diligence, trusting a ‘friend’ who is the partner of a candidate.
But even the most discreet inquiry exposes a candidate on some level and, in some cases, may result in the candidate being locked out of their office and/or being escorted from the building. (Yes, this happens.) It also can result in the lateral being given a huge promotion or increase in compensation and, as a result, they decide not to move before considering or being warned about the dangers of accepting a counteroffer. If the interviewing firm exposes a candidate, other laterals and recruiters will find out about it and will be very leery of risking a similar situation by associating with the offender.
Confidentiality/discretion also means not identifying which lateral your firm is interviewing – even within your own firm beyond the small circle of interviewers – until absolutely necessary. Also, be extremely sensitive about the form of direct communications with candidates. It’s a good idea to never communicate with a candidate using their current work email.
The suggestions above are just a few examples of the many best practices firms should adhere to successfully win the war for hiring lateral talent.
Of course, knowing what to do and effectively putting it into practice are two different things. LawVision is uniquely equipped to dramatically increase a law firm’s success rate related to lateral attorney acquisition, integration, and retention. Clients benefit significantly from a complete lateral talent assessment, receive feedback on current practices, and adopt established solutions for growing the firm.
For more information, contact Lateral Talent Practice Lead Laurie Caplane >> lcaplane@lawvision.com | M 917-757-4642.
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