Strategies for Expanding Law Firm Practice with Lateral Hires
Lateral hires can transform your law firm's capabilities and market position. These strategic additions bring established expertise and client relationships that help firms enter new practice areas or strengthen existing ones.
Understanding the Role of Lateral Hires in Law Firm Growth
Lateral hires are experienced attorneys who move between law firms, bringing their expertise, client relationships, and industry knowledge. They offer an immediate way to add new capabilities without the time investment of developing talent internally.
When executed well, lateral hiring creates rapid growth in targeted practice areas. New partners bring their books of business, while senior associates contribute specialized knowledge that can seed new practice groups.
The legal industry increasingly relies on lateral moves to drive growth. But success requires careful planning and execution. As discussed in our article on recruitment strategy, misaligned priorities between recruiters and firms can derail even promising lateral candidates.
Strategic Approaches to Expanding Practice Areas Through Lateral Hires
Your lateral hiring strategy should align with your firm's broader goals. Start by defining which practice areas you want to develop and what expertise gaps you need to fill.
Consider both immediate needs and long-term objectives. A lateral hire should strengthen your competitive position while fitting your firm's culture and values.
Evaluating Current Practice Areas and Identifying Opportunities
Conduct a thorough analysis of your existing practices:
Review financial performance by practice area
Identify client demands you can't currently meet
Analyze market trends and emerging legal needs
Map competitor capabilities against your own
Developing a Targeted Lateral Recruitment Strategy
Create a focused plan to attract the right talent. Our recruitment strategies guide outlines key approaches, including:
Define clear criteria for ideal candidates
Build relationships with potential laterals before you need them
Develop a compelling value proposition
Create targeted outreach campaigns
Conducting Thorough Due Diligence
Proper vetting prevents costly hiring mistakes. Examine:
Practice area expertise and specialization
Client relationships and portability
Revenue history and business development skills
Professional reputation and references
Cultural alignment and leadership capabilities
Integrating Lateral Hires into Expanded Practice Areas
Integration makes or breaks lateral hiring success. Create a structured onboarding process that includes:
Clear communication about roles and expectations
Introduction to key stakeholders and support staff
Technology and systems training
Regular check-ins during the first 6-12 months
Assign integration partners to help new laterals navigate firm culture and build internal relationships. This support system proves essential for long-term retention.
Measuring Success and Optimizing Strategies
Track key metrics to evaluate lateral hire performance:
Revenue generation
Client retention and acquisition
Practice area growth
Cross-selling success
Team integration effectiveness
Use this data to refine your approach and make informed decisions about future lateral investments.
Case Studies: Success Stories of Practice Expansion Through Lateral Hires
Consider these real-world examples:
A mid-sized regional firm expanded its intellectual property practice by hiring a senior partner and two associates from a larger competitor. Within 18 months, they doubled their IP revenue and attracted three major corporate clients.
Another firm built a new healthcare practice from scratch by bringing in a lateral partner with 15 years of experience. The practice now generates 20% of the firm's total revenue.
Conclusion and Forward-Looking Insights
Lateral hiring remains a powerful tool for practice area expansion, but success demands careful planning and execution. Focus on strategic fit, thorough vetting, and effective integration.
The future points toward increased lateral mobility in the legal sector. Firms that master the art of identifying, attracting, and retaining top lateral talent will gain significant competitive advantages.
Start by assessing your current needs and developing a clear strategy. Then build relationships with potential candidates who can help you achieve your growth objectives.
