It is Never Too Early to Begin Thinking About Transforming Yourself from a Worker-Bee Associate to a Value-Added Associate with Rainmaking Potential This economic model explains why most firms we work with are seeking associates with 2-5 years of experience (as opposed to associates with 6-plus years of experience) or partners with a book of business. Therefore, in certain types of situations, it is in the client's (as well as the managing partner's) best interest to have a lower-billing attorney work on a project, even if it takes a little more time than a more efficient and skilled senior associate. Although associates do become more efficient with their time over the years, the increased efficiency for many types of projects does not keep pace with the rising billing rates. Assuming the associate has learned to be more efficient over the years due to experience and could now prepare the same application in 25 hours, the cost to the client would be $8,125 for the same application. Now let's assume Associate Y is a fifth-year associate and is billing at $325 an hour. That way, the client is happy with the lower cost, and the partner is happy because (1) the client gets a good deal and (2) the partner is likely getting some type of credit for his client's business, even though the associate did most of the actual work. Assuming the final work product is the same, a client would certainly rather have an associate prepare the application for approximately $6,000 rather than $9,500. On the other hand, Associate Y, a second-year, could prepare the application in 30 hours, at the rate of $200 an hour ($6,000), with minimal supervision from the managing partner. Partner X could easily prepare the application in 20 hours, but Partner X bills at $475 an hour ($9,500). So let's say Partner X has a client that needs a basic patent application prepared. Here's the deal: Law firm clients want the work to be done for the lowest cost possible, but also want a stellar work product. This may be true in a few circumstances, but it is certainly the exception and hardly the norm. There is a common misconception that as long as they keep doing a good job on the work they are handed from the partners, things will be smooth sailing forever. Surprisingly, many associates do not fully understand law firm economics. I'd like to share my short sermon with you. Again, the answer is "No." Actually, the answer is more frequently "Clients?! How can I get clients? I'm so busy trying to make my billable hours and doing the work I'm given by so-and-so partner." At this point, I give them my short speech about law firm economics, the dangers of being priced out, and how they should start thinking about transforming themselves from worker-bee associates to value-added associates with rainmaking potential. The first thing I ask is "Do you think your work quality has gone downhill?" Invariably, the answer is "No." Then, I ask whether they have started to develop any of their own clients.
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