J Peters New, Smart and Ethical Business StructuresPresentation Transcript
New, Smart andEthical BusinessStructuresWorking with Legal StartupsJames PetersVP New Market Initiatives, LegalZoom.com, Inc.
Why work with lawstartups?• More consumers are turning to the internet for legalsolutions• Internet usageo 79% of US adults use internet daily, 50% own smartphones• Law startups are building brandso Ex: LegalZoom had 60% aided brand awareness in early 2012• Law startups have access to capitalo Ex. $15 million to TotalAttorneys last year• Law startups have individuals or teams dedicatedto online marketing
How do consumers findattorneys?• US – ABA Surveyo Ask a friend, family member or colleague = 46%o Contact a lawyer I know or have used before = 34%o Look in the Yellow Pages or a similar printed directory = 8%o Search online 7%o Other form of advertisement like TV, newspaper ad or billboard = 3%o Not sure/Refused (v) 2%• UK – YouGov Surveyo Ask a friend or family member = 40%o I have a family solicitor = 21%o Google = 20%o Local high street firm = 17%o Yellow Page = 6% Source: In Person InterviewsSource: Landline Interviews
Is it Ethical?• Unauthorized Practice of Lawo Multijurisdictional offeringso Aiding a nonlawyer• Lawyer/Client Relationshipo Legal Q&A• Confidentialityo Cloud computing• Attorney advertising• Prof Independence• Fee Splittingo Daily Deals• Scope of Serviceso Unbundling
Is it Smart?• Does the brand fit?• Can you assess product quality?• Do the numbers make sense?• Do they provide business that you want?• Are they supporting your state?• Can you get out if it doesn’t work?• Can you scale if it does?