The Biggest Challenges That Law Firms Face & How You Can Deal With Them


Running your own law firm means that you are bound to run into the occasional challenge. However, the way in which you respond to these roadblocks and progress forwards is critical if you want to succeed in a notoriously hypercompetitive industry. After all, you cannot let a few stumbling blocks affect the quality of services you offer your clients, your relationship with your colleagues, or your performance in the courtroom. Thankfully, there are various ways in which you can go about responding to challenges effectively. For example, you could put together a strong business plan that explores at length the various challenges that the typical law firm may encounter on a day-to-day basis. This hindsight will allow you to put appropriate plans in place for when things go wrong. With that in mind, here are some of the biggest challenges that law firms face – and how you can deal with them. 

Struggling to bring in new clients:

The strength of your workforce or the quality of your services means nothing if you fail to bring in and retain clients. After all, they are integral to the success of your law firm. Thankfully, there are various steps you can take to tackle this challenge. 

  • Focus on your marketing campaign, ensuring that you are promoting your firm to the right people. 
  • Cultivate a strong online presence through both your website and your social media accounts. 
  • Offer rewards for client referrals. 
  • Focus on doing your job to the best of your ability so that clients are more likely to recommend your services to others. 
  • Feature positive testimonials on your website and social media. 

When you first launched your law firm, you were likely running on enthusiasm and a desire to get out there and make things happen. However, as time goes on, it’s easy for this enthusiasm to ebb slightly as you deal with increasing workloads and the other complexities that go hand in hand with running a firm. Furthemore, employee burnout within the legal profession is at an all-time high – which could also present a challenge for your firm. Thankfully, there are various ways in which you can battle burnout in the legal field. 

  • Teach all employees the importance of good time management, where high-pressure tasks are not left to the last minute. 
  • Work towards a good work-life balance. 
  • Create a safe and supportive work environment where employees can ask for help should they need it. 
  • Put your employee’s needs first, as this enables them to work to the best of their ability. 
Lack of competitive edge:

As mentioned previously, the legal industry is highly competitive, meaning that firms without a competitive edge will struggle to stay afloat and will likely be overshadowed by their competitors. Thankfully, there are many different ways in which you can help your firm stay ahead of the competition. 

  • Invest in new technology that will enhance the quality of services you offer to your clients while encouraging you to stay on top of trends.
  • Use Business Performance Management Software to make the most of your time. This means that you don’t have to spend hours dealing with your accounting and can instead focus on developing meaningful relationships with your clients.
  • Invest in new talent by extending your workforce, seeking out passionate lawyers as well as those who may have more varied experiences. 
  • Be personable when communicating with your clients, offering them services where they feel supported and respected. This makes it more likely for your clients to feel like they can approach you and helps you appear more trustworthy. 
Outdated practices:

Laws are continuously changing and developing, meaning that the services you offer and your approach to different cases should change accordingly. Outdated practices will only hinder your success and turn away potential clients. However, there are plenty of ways in which you can update your services to ensure you stay on track. 

  • Don’t rely on outdated cash or cheque payments. Instead, improve your law firm’s cash flow by allowing your clients to pay online or through bank transfer. 
  • Invest in new technology and software. 
  • Don’t assume that you know everything already, and continue to expand your knowledge as much as possible. For example, the books you studied during your degree may since be out of date. 
  • Read law journals and articles to keep your knowledge up to date. 

In short, there are various steps you can take to handle the challenges that law firms face on a daily basis. While this does not mean that you can avoid them entirely, having a pre-planned response in mind will enable you to resolve these issues calmly, quickly, and efficiently.