From startups to multigenerational enterprises, there’s considerable opportunity for lawyers to serve small businesses—but little attention given to the demographic.

Much of the legal press is concentrated on the largest corporations, but consider this: The average small business has 13 potential legal problems every year, and there are 33 million small businesses operating in the United States. Eighty-seven percent of those small businesses do not have in-house lawyers—meaning more than potentially 373 million matters could be outsourced to law firms every year.

How can you best connect with and serve these potential clients?

While we found no shortage of surveys on in-house counsel or individual consumers, we struggled to find reliable intelligence on how small businesses hire lawyers—so we created our own.

Firesign conducted a survey of 100 small business owners and leaders to learn about their buying behavior when it comes to lawyers and law firms. In this article, we will look at how to reach small businesses before they have a specific legal need.

Before a Legal Need

It’s important to understand that small business operators are unlikely to engage with you before they need you. They are, after all, stressed and pressed: according to a survey by Entrepreneur, more than 40 percent of founders work more than 50 hours a week, and 41 percent feel stressed “pretty much every day,” with “never a dull moment.”

They are not active consumers of legal news: Only 20 percent of respondents said they “frequently” educate themselves on legal issues, and 25 percent said they “never” do.

They are unlikely to come to your conferences or webinars: Only 4 percent said they attend law firm educational events.

So how do you reach them?

• Traditional media. Nearly half—46 percent—said they learn about legal developments through trade publications that cover their industry; the same percentage said they read the general business press.
  
  
• Law firm content. Thirty-seven percent will read law firm content on a law firm website or through direct communication, such as a client alert. By contrast, only 4 percent use legal news aggregators, showing these tools are best for targeting other lawyers, from in-house counsel to referral sources.
  
  
• Social media. About one-third—29 percent—look to platforms like LinkedIn to keep them abreast of relevant legal news. 
  
  

Interestingly, this order of preference is aligned with perceived reliability: Not only are news articles the most consumed, they are seen as the most trustworthy. Specifically, at 29 percent, trade media was seen as the most reliable news source. Law firm content followed at 26 percent Despite its popularity, content on general social media feeds was only viewed as reliable by 6 percent.

We also asked small business respondents to provide any additional outlets they turned to for legal updates, and it’s worth noting that trade associations were mentioned multiple times.

Key Takeaways: Marketing Before a Legal Need

Do:

• Pursue quotes and bylined articles in the media, especially relevant trade publications.
  
  
• Post content on LinkedIn—and expect better circulation on lawyers’ personal posts versus the
  general firm account.
  
  
• Seek opportunities to share your expertise with trade associations, which enjoy high levels of small business trust. Explore opportunities to speak and write for them.

Don’t:

• Assume small business operators are up to speed on relevant legal news. Provide context and recaps in
  your content.
  
  
• Rely on events to reach this demographic; they are
  too busy.
  
  
• Try to reach small business operators through legal news sites or syndicators.
  
  

From Taxes to Torts

There’s considerable opportunity for law firms to serve the nation’s 33 million small businesses, a demographic with the potential to generate upwards of 420 million legal matters each year.

But this group doesn’t behave as consumers or corporations do, and their engagement varies depending on their buying stage. Firesign surveyed 100 small business owners and leaders to learn how they scout and select lawyers. In the first part of our series, we looked at how they interacted with lawyers and law firms before they had a specific legal need. In this installment, we’ll explore what happens after that need arises.

When a problem (or opportunity) surfaces that merits lawyer involvement, where do small businesses turn?

To their networks, by a wide margin: 63 percent of small business scouting lawyers will ask colleagues and friends for a referral, and 31 percent will ask another lawyer. These numbers absolutely dwarf other avenues; the next-highest response, “Searching for the relevant subject matter, i.e. ‘employment lawyer’,” was only used by 9 percent.

It’s conventional wisdom, but a key point all the same: Small business clients are three to seven times more likely to seek lawyers by referrals than any other tactic.

But they may not make their decisions based on referrals alone; in fact, a large number of small business operators conduct due diligence on the lawyer recommended to them. More than half (55 percent) review search results for the lawyer’s name; 44 percent review search results for the lawyer’s firm.

And a note of caution: A not-insignificant amount (18 percent) review the lawyer’s social media profiles. With this in mind, schedule a quarterly review of your LinkedIn page: Is it complete, accurate and relevant to your audience? Does it provide your contact information? At the same time, review the privacy settings on more informal social channels, such as X, Instagram and Facebook, to ensure new acquaintances only see what you want them to.

When it comes to establishing credibility with this audience, the most critical and trusted tool is the lawyer biography, used by 92 percent of small business operators in their selection process. Among the other valued tools: online reviews (83 percent) and law firm content (72 percent).

It’s interesting to note the shifting role that law firm content plays as a small business moves along its legal buying journey. Before an incident occurs, recall that 37 percent of these clients will browse law firm content. After, law firm content is cited as helpful to lawyer selection by nearly double that amount. This should be taken into account for law firm marketing strategies; what topics and types of content can help you close?

For these individuals—potential small business clients with a specific need, actively shopping for a solution—the best content is practical. Instead of publishing Supreme Court updates or broad explorations of a given subject, think pragmatically, and focus on what can help them understand the process. This can include Frequently Asked Questions, definitions of relevant legal terms, a list of documents a client would need to get started, or a general timeline.

Assuming due diligence goes well, nearly half—46 percent—of small business operators will consider just one lawyer for their problem. And they act fast, with 60 percent hiring a lawyer within one week. Entrepreneurs move fast—and they want fast solutions to their problems. Law firms that are unresponsive or overly bureaucratic with Intake can risk losing this business to a faster, nimbler rival.

What Marketing Strategies Can Help You Win the Business of Small Business?

• Cultivate strong referral networks (and practice good referral karma). Make sure referrals are a key component of any coaching or business development training curriculum.
  
  
• Be vigilant on your online profiles, from your biography to social media pages.
  
  
• Have a proactive strategy to collect positive reviews, and keep an eye on sites like Avvo to address negative reviews.
  
  

Speed-test your intake process to ensure you match your prospects’ sense of urgency.