There are several features that make certain fractional general counsel services stand out from the pack. Unsurprisingly, there can be a big difference in terms of price points (or as lawyers like to call them, legal fees) and quality of outsourced fractional general counsel services. The point is that as with any other business, fractional GC services are not all alike, and it pays to look carefully at the following features to ensure you are getting the very best fractional GC services you can get:
Low Monthly Retainer Versus High Hourly Fees
There is a big difference between how in-house fractional general counsel services to bill your small- to medium-sized business. It turns out that the billing methods can make a big difference when it comes to the quality of legal services as well. That’s because lawyers who are focused on keeping track of every six minutes of their time – “billable hours” in law firm parlance – and maximizing those billable hours are less focused on actual service.
What’s the alternative? To have lawyers bill a monthly retainer that covers “up to” a certain number of hours and also leaves room for that to be the average number of hours per month. That means they’re not so focused on the time clock and there’s also not nickeling and diming the clients with 6-minute increments. Rather, they’re focusing on keeping the lawyer-client relationship strong so that the ongoing retainer arrangement will be mutually beneficial and agreeable. They are focused on service rather than billing.
So the number one thing to look for from fractional GC services is how they bill: Will your outsourced in-house counsel be billing like a regular law-firm attorney with high hourly rates? Will the attorney be billing by the hour, with six-minute increments?
If so, that’s not what your small- to mid-size business really needs. Instead, look for outsourced fractional GC services that charge via a monthly retainer that covers up to an approximate number of hours and where the hourly billing rate works out to something low. Then you know you’re getting your money’s worth.
Personal, Dedicated Service by the Lawyer You Know and Who Knows You
Another common pitfall of outsourced in-house fractional general counsel services is that traditional law firms who offer such services often treat the small- to mid-size companies like regular clients in the sense that there is a marketing partner – a rain-maker, in law firm parlance – and a service partner who actually does the work. In most cases, even the service partner will delegate to junior attorneys – associates, in law firm language – who are a lot less experienced. Not only is the experience the issue with such arrangements, but even worse, lack of familiarity with your business is a concern. That’s because you want the lawyer who actually performing the work to be the same person who is actually talking to you face-to-face. That means that what you see is what you get and that an outsourced fractional GC lawyer will truly be similar to an in-house attorney with your company because the lawyer will deliver personal, dedicated service. For however many hours you need, unlike a full-time employee. So make sure that the lawyer is in fact doing the work him- or herself and not pushing you off to some faceless partners or associates.
Paying attention to the above tips will help you choose the best fractional general counsel services right for you and your small- to medium-sized business.
