Many law firm leaders fail to highlight to their teams the significant impact referrals can have in reducing marketing and client acquisition costs. Traditional marketing and business development strategies can be expensive and often lack the personal touch that referrals inherently provide.
In my work coaching lawyers on business development, I’m frequently surprised by how little attention is given to referrals. Often, this stems from the lawyer feeling uncertain about when and how to ask for referrals and other concerns. This hesitation can stem from:
- Fear of Being Perceived as Pushy: Many lawyers worry that asking for referrals might come across as self-serving or overly aggressive, potentially making clients or colleagues uncomfortable.
- Lack of Confidence in Timing: Lawyers may be unsure about the right moment to request a referral. They might question whether the client is satisfied enough with their services or whether asking during an ongoing matter is appropriate.
- Uncertainty in Approach: Some lawyers struggle with how to frame the referral request. They may overthink the wording, worrying that it will feel awkward or out of place in the conversation.
- Missing the Opportunity: Lawyers often overlook referrals in their business development strategy. This is where coaching becomes crucial. A coach can assist lawyers in identifying potential referral sources, key contacts, and the steps needed to get started, while also helping them maintain momentum.
Referrals, at their core, are word-of-mouth recommendations that draw upon the goodwill lawyers have cultivated over time. Utilizing referrals from past or current clients, colleagues, or other professionals is crucial for growing individual practice areas.
In the legal profession, referrals carry unique value because they build on the trust inherent in lawyer-client relationships. Legal issues often have serious consequences, so clients prefer to rely on trusted sources when choosing a lawyer. A referral from a past client, fellow attorney, or professional signals a strong endorsement: “I trust this person to handle your legal needs.”
Not only do referrals serve as a testament to the quality of a lawyer’s work, but they also act as a form of client pre-screening. Referred clients usually come in with a degree of confidence in the lawyer’s skills, leading to more seamless interactions and stronger relationships from the outset.
When and How to Ask for Referrals:
1. Choose the Right Moment:
Timing is critical when asking for referrals. The ideal time to ask is when you’re confident the client is satisfied with your work. For past clients, this could be shortly after a successful outcome when the experience is still fresh in their minds. For current clients, the opportunity may arise after reaching a key milestone in their case.
When asking for referrals from other professionals or colleagues, it’s important to wait until a trust-based relationship has been established. For example, after you’ve successfully referred a client to them or worked together on a matter, a sense of reciprocity is likely to follow.
2. Be Direct, but Respectful:
Although asking for referrals can feel uncomfortable, it doesn’t need to be complex. A simple and polite request is often the most effective approach. You might say, “I’ve really enjoyed working with you on this matter. If you know anyone who might need legal help, I’d appreciate it if you’d pass along my name.”
The key is to be confident without being pushy. You want to express that you’re open to referrals, but in a way that doesn’t make the other person feel pressured. Keeping it light and conversational prevents you from appearing overly aggressive or self-promotional.
3. Express Gratitude:
After receiving a referral, it’s essential to follow up with a personal expression of thanks. I recommend sending a handwritten note for the first referral (I always keep a box of blank thank-you cards on hand). For subsequent referrals from the same person, a phone call to express your appreciation should suffice. This gesture of gratitude not only acknowledges the referrer’s effort but also strengthens your relationship and encourages further referrals.
4. Educate Your Referrers:
One of the most important steps in asking for referrals is ensuring that your referrers—whether they are clients, colleagues, or other professionals—understand the types of clients and cases you are looking for. Take the time to explain your areas of expertise and the kinds of legal matters you handle.
For instance, if you practice family law, inform your clients that you handle divorce, child custody, and adoption cases. If you specialize in business law, clarify whether you focus on contract disputes, employment law, or other areas. By clearly communicating the types of cases you’re interested in, you help ensure that the referrals you receive align with your expertise.
5. Maintain Ethical Standards:
It’s important to remember that lawyers are bound by ethical rules concerning referrals. In many jurisdictions’ referral fees are allowed between lawyers under strict conditions, paying referral fees to non-lawyers is prohibited. All referral arrangements must be fully disclosed to the client, be reasonable, and comply with the limits set out by the regulatory law societies.
Additionally, lawyers should exercise caution in checking for conflicts of interest before accepting referrals. Even when a referral comes from a trusted source, it’s critical to conduct a thorough conflict check to avoid any potential issues.
Conclusion
Asking for referrals is a vital skill for any lawyer looking to grow their practice. By carefully timing your requests and approaching them with clarity, simplicity, and gratitude, you can increase your chances of securing referrals without feeling awkward or overly assertive. Over time, asking for referrals will become a natural part of your interactions, helping you develop a stronger, more reliable client base.
If you are a lawyer aiming to strategically enhance your business development, I’m available to help. Let’s arrange a complimentary discussion to explore how coaching might aid your progress and address any queries you might have. Please reach out to me at larry.stroud@korverge.com to schedule a time.
I do ‘Business Development’ coaching. Not life coaching. Not career coaching. The coaching is specifically tailored to business development in the legal profession. My focus is on helping lawyers build and retain client relationships, as well as winning new clients.
I have been a partner at two international firms and have dedicated the past 20 years to coaching individual lawyers in business development.
My clients range from lawyers in national and international law firms to those in regional, small office, and specialized boutique firms, as well as solo practitioners. Based in Toronto, I work with clients throughout Canada, having also worked in several other countries. I’m typically engaged either by individual lawyers or firms on a retainer basis to provide ongoing coaching for their lawyers at various stages of their careers, and in certain cases, to lead targeted workshops.