In order to have a successful company, you will need to have a good legal team on your side. You can avoid numerous problems simply by paying attention to what your lawyers advise you. However, even if you listen to every piece of advice they give you, there comes a time when every business encounters some legal disputes and needs to handle them. Even though it’s extremely important to have proper legal assistance, it’s no secret that it can cost a pretty penny. Thankfully, there are some ways to reduce your company’s legal costs.
Organize Your Documents
Organizing your documents is without a doubt one of the easiest way to reduce legal costs when you’re meeting with lawyers for the first time. By doing this, you will basically show the lawyers that providing services to you won’t take up too much of their time.
Interview Different Lawyers
Just because you interviewed a lawyer and were impressed doesn’t mean that you should immediately hire them. In case price is important to you, you’ll need to interview several different lawyers and firms in order to find the lowest price for the best quality of services. Keep in mind that most law firms are willing to negotiate and offer lower prices just so they can represent your business, especially if they hear that you’re interviewing other lawyers as well.
Talk about Fees
One of the ways to negotiate the pricing is to talk about fees. Know that there are three different ways that legal firms charge small businesses. Some charge by the hour, which usually costs between $50 and $150 per hour. Other law firms charge a flat fee for each job. There are also lawyers that charge a contingent fee, meaning that they get paid a percentage of what they obtain for you in a settlement or through a trial. Depending on your situation, you should seek the most favorable fee arrangement.
Recommend Cost-Saving Methods
It’s important to note that lawyers aren’t known for being conscious of costs, which is why you should recommend cost-saving methods whenever you possible. If they want to meet up with you and you’re in a different city, simply ask whether you can communicate over the phone or through a secure online portal.
If you have to make a deposition but are in a different state going to your lawyer’s office would be too expensive, suggest that you do it remotely. There are companies that help you do legal depositions no matter where you are.
Use Electronic Communication Tools
Nowadays, there is no need to constantly have face-to-face meetings, since they waste both time and resources. Instead, you can simply use electronic communication tools to come to agreements. This way, legal processes will go quicker and will cost you less.
Guarantee a Minimum Number of Hours
One of the best ways to reduce legal fees per hour is to guarantee a minimum number of hours of work by the end of the year. If the lawyers know that you will be a big client and will spend a lot of hours working for you, they will immediately lower their fees.
Instead of trying to go to court for every case, you should try to settle whenever you can. Not only will this save you a lot of time, but it will also reduce or eliminate legal fees since there will be certain cases where you will be able to settle the case without assistance from a lawyer.
Negotiate Fees with a Retainer
In case your company has a chance of litigation, it’s recommended that you negotiate legal fees with a retainer. Keep in mind that attorneys are willing to include certain legal services in retainer costs, and you’ll be able to negotiate for a lower monthly retainer cost if your business has a chance of litigation.