Pricing and Profitability
Pricing in the law is out of control, especially compensation for today’s junior associates. Leading law firms set the market rates each year. Other firms increase their rates and bonuses to compete. Their clients push back and refuse to pay for junior associates, or they request steep discounts. To improve law firm profitability, firms cut positions for junior talent and reduce or eliminate budgets for training junior talent. This suppresses opportunities for traditionally underrepresented groups, including women and minorities.
At Legal Innovators, we believe the market needs alternative sources of quality junior legal talent at a more realistic price point. That’s how we will truly overcome pricing and profitability challenges to ultimately transition to a value-based pricing model —where clients focus on the quality of a law firm’s work and the results, rather than scrutinizing inflated hourly rates and pricing.
At Legal Innovators we take an innovative approach to increase law firms profitability and improve client satisfaction by lowering overall costs for quality junior legal talent.
We pay a fair salary and offer bonuses, benefits, training, mentorship, and employment from leaders in the law and business.
Our users pay a lower hourly rate for outsourced junior legal talent.
We also assume the costs of recruitment, office space, technology, and training.
Our junior legal talent is trained and coached to deliver value for our users, with a focus on efficiency, quality, and profitability.
Upon completion of our program, law firms and corporate legal departments have the opportunity to hire our experienced and trained junior legal talent as full-time employees at an associate level.
“Clients are absolutely cost sensitive. The traditional law firm model is inherently at odds with the goals of the client. When you’re an attorney you’re rewarded for billing as many hours as you can. When you’re in house you need to be as efficient as possible. A model where the clients can control costs – that will be the future.”
– Rahsaana Allen, General Counsel, ExchangeRight Real Estate