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1 2018 © AppFolio, Inc. Confidential.
Everything You Wanted To Know About Outsourcing
To Freelance Lawyers
Featuring Kristin Tyler & Dan Lear
2 2018 © AppFolio, Inc. Confidential.
3 2018 © AppFolio, Inc. Confidential.
About Our Presentors
Dan Lear @rightbrainlaw Kristin Tyler @kristintyler
4 2018 © AppFolio, Inc. Confidential.
About L A W C L E R K
5 2018 © AppFolio, Inc. Confidential.
“It’s the biggest change in the
American workforce in over a
century, and it’s happening at
lightening speed.”
Robert Reich, Former US Secretary
The “Gig Economy”
6 2018 © AppFolio, Inc. Confidential.
Why outsource?
• Grow your firm
• Minimize stress
• Make money
• Access expensive expertise
• … and plenty more reasons
7 2018 © AppFolio, Inc. Confidential.
Is outsourcing ethical?
8 2018 © AppFolio, Inc. Confidential.
YES!
Is outsourcing ethical?
9 2018 © AppFolio, Inc. Confidential.
Next Question…
10 2018 © AppFolio, Inc. Confidential.
Just kidding!
11 2018 © AppFolio, Inc. Confidential.
Client Consent
• MR 1.6 – Confidentiality
• ABA Ethics Opinions 88-356 &
08-451
Is outsourcing ethical? (1/3)
12 2018 © AppFolio, Inc. Confidential.
UPL
• Model Rule 5.5
Is outsourcing ethical? (2/3)
13 2018 © AppFolio, Inc. Confidential.
Duty of supervision
• MR 5.1 – Supervising other lawyers
• MR 5.3 – Nonlawyer assistance
Is outsourcing ethical? (3/3)
14 2018 © AppFolio, Inc. Confidential.
🤷♀️
What to outsource?
• Start Small
• Time consuming
• Competence?
-MR 1.1
15 2018 © AppFolio, Inc. Confidential.
MR 1.1
Competence (again 🤷)
What shouldn’t I outsource?
16 2018 © AppFolio, Inc. Confidential.
• Personal network
• Agencies
• Ads
• Internet
To whom to outsource?
17 2018 © AppFolio, Inc. Confidential.
What should I pay an outsourced resource?
Dan’s Formula Kristin’s Formula
18 2018 © AppFolio, Inc. Confidential.
Dan’s Formula
• Set a reasonable hourly rate for
the freelance work
• Pay hourly
• Estimate hours and set a flat fee
19 2018 © AppFolio, Inc. Confidential.
Kristin’s Formula
Estimate billable value of the
work
-EX: 4 hours x $250/hr =
$1,000 billable time
Pay 35% - 40% of the value as
a flat fee
-EX: $350-$400
20 2018 © AppFolio, Inc. Confidential.
Can I make money outsourcing?
• Also, YES!
• MR 1.5 – reasonableness
• ABA Opinion 00-420
• Remember: firms make money
on associates
21 2018 © AppFolio, Inc. Confidential.
Can I make money outsourcing? (part 2)
Flat fee to freelancer: $1000
Hours worked: 8.5
Reasonable market rate: $200/hr
8.5*$200 = $1700
Total fee to client: $1700
Profit: $700
22 2018 © AppFolio, Inc. Confidential.
Five quick tips
1. Plan ahead
2. Find a talented freelancer
3. Limit the freelancer’s role
4. Set clear expectations
5. Let go
23 2018 © AppFolio, Inc. Confidential.
#1 Plan ahead
24 2018 © AppFolio, Inc. Confidential.
#2: Find a talented freelancer
25 2018 © AppFolio, Inc. Confidential.
#3 Limit the freelancer’s role
26 2018 © AppFolio, Inc. Confidential.
#4: Set clear expectations
27 2018 © AppFolio, Inc. Confidential.
#5: Let go
28 2018 © AppFolio, Inc. Confidential.
In review
1. Is outsourcing ethical? Yes
2. What should I outsource? Small, tedious & repetitive,
remember competence
3. What shouldn’t I outsource? Competence, again
4. How to find a freelancer? Network, ads, online
5. What to pay? Hourly or value
6. Can I make money? Yes!
29 2018 © AppFolio, Inc. Confidential.
If you want all of this and more, check out our
whitepaper on outsourcing
outsource.lawclerk.legal
30 2018 © AppFolio, Inc. Confidential.
Thank you!
🙏
Give LAWCLERK a try: MyCase100
31 2018 © AppFolio, Inc. Confidential.
Thank you! 🙏
Dan:
• dan@rightbrainlaw.co
• rightbrainlaw.co
• @rightbrainlaw
Kristin:
• ktyler@lawclerk.legal
• lawclerk.legal
• @kristintyler
White Paper: outsource.lawclerk.legal
Code: MyCase100
32 2018 © AppFolio, Inc. Confidential.
Sources
• Robert Reich quote:
http://robertreich.org/post/127426324745
• Gig economy data:
 https://www.gigeconomydata.org/basics/how-many-gig-
workers-are-there
 https://www.nytimes.com/2018/06/07/business/economy/w
ork-gig-economy.html

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Everything You Wanted to Know About Outsourcing

  • 1. 1 2018 © AppFolio, Inc. Confidential. Everything You Wanted To Know About Outsourcing To Freelance Lawyers Featuring Kristin Tyler & Dan Lear
  • 2. 2 2018 © AppFolio, Inc. Confidential.
  • 3. 3 2018 © AppFolio, Inc. Confidential. About Our Presentors Dan Lear @rightbrainlaw Kristin Tyler @kristintyler
  • 4. 4 2018 © AppFolio, Inc. Confidential. About L A W C L E R K
  • 5. 5 2018 © AppFolio, Inc. Confidential. “It’s the biggest change in the American workforce in over a century, and it’s happening at lightening speed.” Robert Reich, Former US Secretary The “Gig Economy”
  • 6. 6 2018 © AppFolio, Inc. Confidential. Why outsource? • Grow your firm • Minimize stress • Make money • Access expensive expertise • … and plenty more reasons
  • 7. 7 2018 © AppFolio, Inc. Confidential. Is outsourcing ethical?
  • 8. 8 2018 © AppFolio, Inc. Confidential. YES! Is outsourcing ethical?
  • 9. 9 2018 © AppFolio, Inc. Confidential. Next Question…
  • 10. 10 2018 © AppFolio, Inc. Confidential. Just kidding!
  • 11. 11 2018 © AppFolio, Inc. Confidential. Client Consent • MR 1.6 – Confidentiality • ABA Ethics Opinions 88-356 & 08-451 Is outsourcing ethical? (1/3)
  • 12. 12 2018 © AppFolio, Inc. Confidential. UPL • Model Rule 5.5 Is outsourcing ethical? (2/3)
  • 13. 13 2018 © AppFolio, Inc. Confidential. Duty of supervision • MR 5.1 – Supervising other lawyers • MR 5.3 – Nonlawyer assistance Is outsourcing ethical? (3/3)
  • 14. 14 2018 © AppFolio, Inc. Confidential. 🤷♀️ What to outsource? • Start Small • Time consuming • Competence? -MR 1.1
  • 15. 15 2018 © AppFolio, Inc. Confidential. MR 1.1 Competence (again 🤷) What shouldn’t I outsource?
  • 16. 16 2018 © AppFolio, Inc. Confidential. • Personal network • Agencies • Ads • Internet To whom to outsource?
  • 17. 17 2018 © AppFolio, Inc. Confidential. What should I pay an outsourced resource? Dan’s Formula Kristin’s Formula
  • 18. 18 2018 © AppFolio, Inc. Confidential. Dan’s Formula • Set a reasonable hourly rate for the freelance work • Pay hourly • Estimate hours and set a flat fee
  • 19. 19 2018 © AppFolio, Inc. Confidential. Kristin’s Formula Estimate billable value of the work -EX: 4 hours x $250/hr = $1,000 billable time Pay 35% - 40% of the value as a flat fee -EX: $350-$400
  • 20. 20 2018 © AppFolio, Inc. Confidential. Can I make money outsourcing? • Also, YES! • MR 1.5 – reasonableness • ABA Opinion 00-420 • Remember: firms make money on associates
  • 21. 21 2018 © AppFolio, Inc. Confidential. Can I make money outsourcing? (part 2) Flat fee to freelancer: $1000 Hours worked: 8.5 Reasonable market rate: $200/hr 8.5*$200 = $1700 Total fee to client: $1700 Profit: $700
  • 22. 22 2018 © AppFolio, Inc. Confidential. Five quick tips 1. Plan ahead 2. Find a talented freelancer 3. Limit the freelancer’s role 4. Set clear expectations 5. Let go
  • 23. 23 2018 © AppFolio, Inc. Confidential. #1 Plan ahead
  • 24. 24 2018 © AppFolio, Inc. Confidential. #2: Find a talented freelancer
  • 25. 25 2018 © AppFolio, Inc. Confidential. #3 Limit the freelancer’s role
  • 26. 26 2018 © AppFolio, Inc. Confidential. #4: Set clear expectations
  • 27. 27 2018 © AppFolio, Inc. Confidential. #5: Let go
  • 28. 28 2018 © AppFolio, Inc. Confidential. In review 1. Is outsourcing ethical? Yes 2. What should I outsource? Small, tedious & repetitive, remember competence 3. What shouldn’t I outsource? Competence, again 4. How to find a freelancer? Network, ads, online 5. What to pay? Hourly or value 6. Can I make money? Yes!
  • 29. 29 2018 © AppFolio, Inc. Confidential. If you want all of this and more, check out our whitepaper on outsourcing outsource.lawclerk.legal
  • 30. 30 2018 © AppFolio, Inc. Confidential. Thank you! 🙏 Give LAWCLERK a try: MyCase100
  • 31. 31 2018 © AppFolio, Inc. Confidential. Thank you! 🙏 Dan: • dan@rightbrainlaw.co • rightbrainlaw.co • @rightbrainlaw Kristin: • ktyler@lawclerk.legal • lawclerk.legal • @kristintyler White Paper: outsource.lawclerk.legal Code: MyCase100
  • 32. 32 2018 © AppFolio, Inc. Confidential. Sources • Robert Reich quote: http://robertreich.org/post/127426324745 • Gig economy data:  https://www.gigeconomydata.org/basics/how-many-gig- workers-are-there  https://www.nytimes.com/2018/06/07/business/economy/w ork-gig-economy.html