Given Danos Associates’ strength in the legal search space, we are keen to share the main talking points on an increasingly topical line of conversation with our clients. Along with our own expertise, we have collated together discussions we have had with C-suite executives and Partners in leading law firms, regarding the fundamental benefits of having an in-house legal counsel.
Reduction in legal expenditure
As your business flourishes, you may start to notice the rising legal requirements. With the increasing charge-out rates for external counsel, it is logical that you would want to find cost efficient ways of managing legal spend.
One effective way of doing this is by hiring a dedicated business lawyer. With a lawyer working within your organisation, you could significantly cut down your legal outsourcing costs, particularly if the business needs are aligned with their area of expertise. In areas outside their remit, they are perfectly positioned to negotiate fees with external firms.
Whilst the upfront cost may seem expensive, you will be able to derive maximum value from the hire if you align the needs of your company with their expertise.
Trusted business advisor with vested interest in the growth of the business
In-house lawyers often play an integral role in the strategic planning process. It is common for a commercially astute lawyer to closely advise on the Board, contributing to the overall strategic mission of the firm.
The best in-house lawyers have in-depth understanding of the businesses they support, liaising with other support functions to achieve the objectives of the organisation.
As we have seen recently, shaky senior investor confidence can negatively impact a business. Having an in-house lawyer reassures these stakeholders that you are taking legalities and risk seriously, alongside the clear objective of having their best interests in mind, i.e. keeping their investments safe and secure.
Management of external counsel
In the instances whereby you may require work to be outsourced, Ii-house counsels are well positioned to identify the best individuals for this additional support or advice. They will easily pinpoint the legal issues and give direction to your law firms on the right legal advice needed for the given matter.
They will serve as a trusted liaison between the business and external counsel, again facilitating your firm’s best interests, whilst effectively translating any technical legalese into digestible information.
Identification and mitigation of legal risk
It is your lawyer’s job to identify, analyse and evaluate legal risks. A trusted permanent advisor will have a clear understanding of the business’ assets / product offerings, making it easier to deal with these risks.
They can work in unison with other internal stakeholders to put mitigating measures in place which in turn can limit the risk of disputes and damage to business reputation. This long-term foresight and continued monitoring will enable counsel to track risks and foresee where issues may arise, making their reactions much quicker.
Hiring an internal counsel can prove extremely valuable in the long term. Focus on hiring an in-house lawyer well versed in dealing with the legal issues your business experiences daily to ensure that your outsourcing requirement is minimised.
As a leading specialist executive search firm, we have an unparalleled talent network within the Legal sector throughout EMEA, the Americas and APAC.
We pride ourselves on being able to match talent not just to the requirements of the role, but also to the style of the organisation.
If you would like to find out more, would like our support, or advice on permanent and interim resource solutions, please do get in touch.