Succession planning is a critical yet often overlooked aspect of law firm management. In this Liticast episode, we discuss how senior attorneys can effectively transition their practices while maximizing value and ensuring client continuity. 

The video and article below outline key strategies and insights for law firms navigating succession, drawing on the expertise of Jeremy E. Poock, Esq., Founder of Senior Attorney Match. He shares his insights on  designing tailored succession plans for attorneys with over 30 years of experience.

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The role of Senior Attorney Match

Senior Attorney Match, founded by Poock in 2013, specializes in helping senior attorneys (those with 30+ years of practice) design and implement succession plans. Poock emphasizes that a law firm’s value lies in four core components:

• Client list: The foundation of ongoing billings and relationships.
• Referral sources: Consistent sources of new business.
• Goodwill: The reputation and trust built over decades.
• Subject matter knowledge: Specialized expertise that enhances a firm’s offerings.

These elements drive future revenue potential, though valuing a practice is complex due to the intangible nature of goodwill. Succession options include joining a growing firm, transitioning the practice to internal successors, or maintaining the status quo, which risks significant value loss over time.

The risks of delaying succession planning

Many senior attorneys delay succession planning, clinging to the status quo. Poock warns that this approach leads to gradual client and referral source attrition due to retirements, relocations, or market shifts. Younger, tech-savvy firms are capitalizing on digital platforms like LinkedIn, YouTube, and Instagram, capturing market share through Google-driven referrals—the modern equivalent of word-of-mouth.

Another risk is the “random Tuesday” event, such as the unexpected departure of a key associate, illness, or death, which can derail unprepared firms. Proactive planning mitigates these risks and preserves practice value.

Overcoming resistance to change

Resistance to change often stems from senior leadership’s reluctance to confront succession. Poock stresses the need for buy-in from firm leaders to drive successful transitions. 

Transparent conversations with internal teams are crucial to clarify whether junior partners or associates are willing or able to take over. Many internal candidates prefer stable employment over ownership, making external options like merging with a growing firm more viable.

Joining a growing firm

For senior attorneys, joining a growing firm offers a way to monetize their practice while continuing to practice law. Poock’s process begins with a 90-minute Next Step Workshop via Zoom, creating a customized roadmap based on the attorney’s clients, referral sources, and expertise. Matches are made with firms in the same practice area, such as pairing a labor law veteran with a personal injury firm seeking labor law expertise. This “growth by acquisition” model benefits both parties: senior attorneys gain new energy, and acquiring firms expand their client base.

Integration, however, can be challenging. Senior attorneys may feel like the “new kid” in a younger firm. Senior Attorney Match provides integration consulting to ease this cultural shift, ensuring a smooth transition.

Common succession mistakes

Poock highlights several pitfalls senior attorneys should avoid:

• Waiting too long: Delaying succession reduces practice value, especially if forced by emergencies like illness or death.
• Assuming internal successors want ownership: Many key employees lack the desire or resources to buy the firm. Early, transparent discussions are essential.
• Relying on “friendly competitors”: Competitors may not be interested in acquiring the practice when the time comes.

Ensuring client continuity

Maintaining high-quality client service during a transition is paramount. Senior Attorney Match conducts thorough due diligence to ensure cultural and professional fit between the senior attorney and the acquiring firm. 

A personal introduction by the senior attorney to the successor builds a “trust bridge,” particularly effective in practices like trusts and estates. This ensures clients feel confident in the new arrangement.

Preserving brand value

Modern law firms are shifting from individual-driven brands to firm-wide brands with strong digital presences, such as Morgan & Morgan. Joining a branded firm allows senior attorneys to leverage their reputation while enhancing the acquiring firm’s market position. A robust digital brand, supported by platforms like Litify, adds significant value during negotiations and transitions.

The role of technology in succession

Technology, such as Litify’s platform, is critical for seamless transitions. Effective data management, such as tracking client lists, case inventories, and referral sources, streamlines the process. 

Litify enables:

• Data migration: Easy transfer of client and case information.
• Client communication: Automated updates to maintain trust.
• Document unification: Centralized access to critical files.
• Case management: Efficient handling of ongoing matters.

For example, an attorney with thousands of estate plans can significantly increase their practice’s value by maintaining organized, accessible data.

Growth by acquisition and market trends

The legal industry is seeing increased consolidation, with mid-market firms acquiring smaller practices to gain clients and expertise. Poock’s Senior Attorney Match facilitates these win-win-win scenarios: senior attorneys monetize their practices, growing firms expand their reach, and clients experience continuity. 

Emerging regulatory changes, such as non-lawyer ownership in states like Utah, may further accelerate mergers and acquisitions, creating new business models combining legal, financial, and accounting services.

The future of succession planning

Looking ahead, Poock envisions Senior Attorney Match 2.0 focusing on firm-wide brands and digital marketing. Well-branded firms with data-driven results will command higher valuations, potentially leading to eight- or nine-figure deals. Firms must invest in digital presence and robust systems now to maximize future value.

The takeaway

Succession planning is essential for law firms to ensure sustainability and maximize value. By addressing fears of change, leveraging technology like Litify, and partnering with experts like Senior Attorney Match, senior attorneys can transition their legal practices effectively while preserving client trust and firm legacy. Poock’s insights underscore the importance of proactive planning in a rapidly evolving legal landscape.