The world is filled with law firms. All the different practices advertise their general services, but often people aren’t looking for a general lawyer. Different crimes call for expert knowledge in that area. When that is the case, a law firm that advertises areas of expertise as opposed to general practices is instantly more attractive, more accessible, and easier to connect with for potential clients. This post focuses on the reasons why niche areas of the law are more profitable for smaller law firms, who often struggle to compete with larger companies.
What Are Niche Areas of Law?
Every crime has a category, but it is not just crime that lawyers navigate. Accidents, personal injury claims, divorce, and custody are all areas that you may need legal representation for and can be explored deeper into subcategories. For example, a personal injury claim may be because of multiple reasons such as a workplace accident, a mishap at a large scale event, or even a tragic accident such as a mass shooting, as explained here by the Romanucci & Blandin firm.
Challenges for Smaller Firms
Smaller law firms often struggle to establish credibility. Though they may have excellently trained and educated team members, their lack of size is a big deterrent to signing new clients. Without the big paychecks from reliable clients, small law firms can quickly reach a standstill. This has a knock-on effect with regard to hiring capacity, which leads to a lock-in in terms of appearances and the ability to grow. So, there is effectively an infinite loop of stunted growth taking place for these smaller firms struggling to break out of the stigma. Therefore, by exploring the niche areas that law has to offer, smaller firms have an opportunity to grow and gain credibility.
The Profit Factor
It makes logical sense to say these niche areas can draw in more profit for the smaller players in the law game. Clients want to know that the lawyer representing them knows how to do that task properly, in an expert manner. So, by branding your firm towards specific pieces of law expertise, for example, brain injuries, you draw in a more specific demographic. Not only is this beneficial for the team of lawyers with expert knowledge bases, but it means the clients have a larger chance of a successful outcome too.
The Areas to Focus On
There is no real answer here. The area that a firm focuses on depends on the current trends, client demands, and its in-house knowledge base. Any niche legal area provides an opportunity to find a voice for the firm and bring in new clients the more successful representation is proven.
Overall, small law firms may struggle to gain traction in the industry. Clients paying money are reluctant to invest in the small guy, as trusting your attorney to represent you successfully seems more viable with a larger company that has a bag of wins in its pocket. So, by offering niche services, the little guys spark interest and have a chance to prove their tenacity.