“I don’t want to lose my independence.”
That’s the most common response I hear from small law firm founders when I raise the idea of merging with a larger firm. And I get it—independence is part of why you started your firm in the first place.
But here’s the reality: compare giving up a measure of independence to having no source of income at all. That’s the crossroads many small firms are quietly approaching.
Sometimes the smartest business decision isn’t about choosing the “best” option. It’s about choosing the least-worst option.
This concept of the least-worst option captures a trend I’m seeing more frequently among small, corporate-focused firms—especially those with 50 or fewer attorneys. Let’s take a closer look at what’s driving it.
The Talent Drain That No One Saw Coming
In 2021, legal demand surged post-COVID, and BigLaw needed associates—fast. To meet the moment, many AmLaw 100 firms loosened their usual preference for only hiring associates from peer firms. Suddenly, high-performing associates at small firms became highly desirable.
That shift created a brain drain: your best associates were recruited away, and with them went one of the main reasons your partners stayed—support.
Without associate support, partners start asking: “Why am I still here?” They leave. And when they go, they take clients with them.
The Downward Spiral: No Talent, No Clients
Losing partners leads to losing clients. Losing clients means less revenue. And the fewer people left to do the work, the faster the fabric of your firm unravels.
Some firms try to plug the leak by hiring lateral partners. But what seasoned partner wants to join a firm in decline?
Others try to hire associates, only to discover that top talent prefers the opportunities and resources available at larger firms. Sophisticated candidates want career development, not instability.
The result? You’re left managing a shrinking team, dwindling revenue, and growing obligations. When the music stops in this game of career musical chairs, founders are often the last ones standing—alone.
Merging Isn’t Failure. It’s Strategy.
A merger isn’t giving up. It’s choosing stability over slow erosion.
One founder once told me, “I just can’t imagine giving up control.” I replied, “It’s not ideal—but you’ll be earning great money without the stress. More importantly, you’ll have protected your people, preserved your legacy, and positioned your team for long-term success. They won’t resent you for it. They’ll thank you.”
If you're even considering a merger, here are three practical steps:
1. Keep it confidential. Don’t broadcast your intentions. Only involve trusted stakeholders. 2. Identify key people. Who are the decision-makers and influencers in your firm that need to be part of the transition plan? 3. Get your data ready. Be prepared to share at least three to five years of financials, including collections, compensation, and client breakdowns.
Final Thought: Just Take the Meeting
You don’t have to commit. But at least take the call. Hear the pitch. Evaluate the offer. What starts as a conversation may end up being the best business decision you’ve ever made.
Scott Love is the host and producer of The Rainmaking Podcast, a globally ranked top-2 percent show, the editor in chief of The Rainmaking Magazine, and the founder of The Attorney Search Group, a legal recruiting firm. He has been quoted in the Wall Street Journal, Forbes, The American Lawyer, Bloomberg, Above The Law, Huffington Post, and dozens of business publications across the globe. He is the co-author of Rainmaker Confidential and also speaks professionally at legal, corporate, and association events and retreats on recruiting and rainmaking strategies. www.therainmakingpodcast.com