Will Office Space Become Obsolete?

With remote work on the rise, will office space become obsolete?

According to a study done by Boston Consulting Group, ‘1.5 billion square feet of office space could become obsolete’, with low utilization, high vacancy levels, and financial viability slipping away for many.

Here at Amata we provide office spaces for law firms and professional services companies in Chicago, so this is a trend that could deeply affect us. But the reason why we’re not worried (and actually feel hopeful for the future), is because we have lived this already through the pandemic and found that Office Space will not become obsolete, it just needs to twist to effectively serve the new demands of the market.

Enter The New Era of Office Space

During the pandemic one of our natural worries was, “Will people stop needing an office?”. And contrary to our fears, Amata grew and today we serve more than 800 clients all over Chicago.

There are a few reasons for this:

  • While companies had to go fully remote for some years, many have realized that this is not a sustainable work arrangement for them. Their associates desire human connection, a dedicated space where they can be productive, and the prestige that comes from an office in downtown Chicago.
  • This means that most solo and small law firms today are either working on-site or with hybrid arrangements.
  • Hybrid companies are giving their team members the option to choose between remote work or on-site work. 


The 2022 Practice Forward Report by The American Bar Association found that 44% of lawyers practicing 10 years or less were more likely to leave their current job for one that offers a greater ability to work remotely. At the other end of the age spectrum, only 13% of those practicing over 40 years would leave their place of employment for the greater ability to work remotely.

This means that there is a clear generational divide, where more established lawyers desire to work at the office while younger generations work more flexible options. This is why hybrid companies choose to retain talent by giving their employees options.

But how can they keep an office space without spending excessively or being locked by a 5-year lease?

At Amata, we help them with our flexible plans which allow them to add or drop office space during the term of the contract, without penalty, so they can scale up and down as their company grows. This means that they can add new team members or create a leaner team without being worried about unutilized office space or relocating.

We also provide Hybrid companies solutions that match their desired flexibility, such as conference rooms for the day, support staff on-demand (only pay what you need), mail handling, and networking events.

  • Even fully remote companies can benefit from some physicality. For example, listing your home as your official business address can hurt credibility in the eyes of clients, and also not be the best idea for safety reasons.

    That is why at Amata we provide remote companies a virtual business address, so that clients associate your organization with Class A, prominent office buildings in the Chicago area. A virtual business address also entitles you to receive correspondence at the location and enjoy mail processing and forwarding from the on-site staff.

What we have found is that office space will not become obsolete, it just needs to be reimagined. Lawyers and professionals want a healthier work/life balance, and they want office spaces that provide it.

That is why our unique model at Amata offers:

  • Flexibility – Programs that allow you to cancel offices during a contract term.
  • Hourly paralegals that work as if they are on your staff.
  • Administrative assistants that work with you virtually and in person, depending on your needs and circumstances.
  • Quarterly office socials to make new acquaintances and build relationships with others working in the center.
  • Monthly attorney socials with over 800 attorneys involved to expand your network and business opportunities.
  • Paralegal assistants that go to city hall, the Recorders Office and deliver courtesy copies to judges for you.
  • Live receptionists that can screen your calls, handle new client in-take and greet your guests.
  • Easy access to decision-makers and owners of Amata.
  • Notary/witness service program at all locations; plus a remote notary/witness service program that includes video recording.
  • Conference room usage is not rounded up to the nearest hour. You only pay for time you use in 15-minute increments

All so you can:

        • Maintain profitability: When your revenue goes down, as a business owner you need to reduce expenses to maintain profit. Amata provides flexibility in order to achieve this in your office space costs (which are a large chunk of expenses).
        • Access office space on your own terms: Amata provides 12-month lease terms with a 30-day notice to adjust office space. This provides a key ability to reduce costs and maintain profitability when needed.
        • Be fully supported as you grow: Whether you’re doing a virtual or physical office, Amata provides on-demand (hourly) support services in the form of admin assistants, paralegals, receptionists, and business phone / phone app services that you get tasks off your to-do lists and back to growing your business.

So if you are a small law firm considering not renewing your office lease, try Amata. Our model is designed with you in mind: To give you modern offices that boost your team’s productivity and your firm’s prestige, while protecting your bottom line and giving you a support team that grows as your firm grows.

Contact us today to see how our virtual and on-site, flexible office plans can help you scale.

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How Hybrid Law Firms Are Changing The Industry

Five company directors in meeting with CEO in conference room.

More than three years after the COVID-19 pandemic started, the way lawyers work is changing forever.

While many law firms continue to work remotely, many of them saw the need for physical interaction with clients and teammates and decided to go back to the office. But the generational divide is clear:

The 2022 Practice Forward Report by The American Bar Association found that 44% of lawyers practicing 10 years or less were more likely to leave their current job for one that offers a greater ability to work remotely. At the other end of the age spectrum, only 13% of those practicing over 40 years would leave their place of employment for the greater ability to work remotely.

What this means is that there is not one generalized consensus about how remote work affects lawyers’ productivity and satisfaction. While some studies find that working from home increases productivity, other studies find that having no boundaries between work and life actually reduces productivity. While some studies find that workers feel more motivated working from home, other studies find that people’s mental health suffers when they stop those daily and spontaneous interactions with teammates and clients.

So what’s the truth? And what can law firms do to maximize their productivity and team retention, while saving costs on office space?

Enter the Hybrid Work Model

Instead of making people choose between remote work or on-site work, The 2022 Practice Forward Survey found that lawyers want the flexibility to decide for themselves when they work in the office and when they work at home. There is a strong desire to create flexible schedules and hybrid work arrangements, that will allow each person to control their day and tailor it to the way they know they can maximize productivity.

In other words, lawyers value optionality more than anything.

The Hybrid Work Model combines both in-person and remote work, offering lawyers and staff greater flexibility while maintaining the core functions of a traditional law firm.

This model allows firms to attract and retain top talent by offering a more attractive work-life balance, reduces overhead costs associated with maintaining large office spaces, and fosters agility and resilience in our age of disruptions.

However, there are 7 important factors to consider in order to implement the hybrid model effectively:

  1. Clear Policies and Guidelines: Clear policies and guidelines should outline the rules that will govern the hybrid work arrangement. Include expectations regarding work hours, communication, data security, client interactions, and performance metrics. Ensure that all employees understand and adhere to these guidelines.
  2. Technology Infrastructure: Invest in robust technology infrastructure to support remote work. This includes secure remote access to case management systems, cloud-based document storage, video conferencing tools, and cybersecurity measures. Ensure that employees have the necessary hardware and software to work effectively from various locations.
  3. Communication Tools: New communication tools and practices are required to maintain seamless collaboration among team members. Utilize video conferencing, instant messaging, project management software, and virtual meeting platforms to facilitate communication and document sharing.
  4. Performance Metrics: Develop key performance indicators (KPIs) and metrics to assess employee performance and productivity in a hybrid work environment. These metrics can include billable hours, case progress, client satisfaction, and project completion rates. Review and adjust these metrics regularly as needed.
  5. Training and Support: Offer training and support for employees so all of them can navigate the hybrid work model successfully. Provide guidance on using remote work tools, maintaining data security, and managing time effectively. Encourage ongoing skill development to adapt to evolving work practices.
  6. Client Interaction Strategy: Develop a strategy for maintaining strong client relationships in a hybrid work environment. Consider offering both in-person and virtual client meetings, ensuring that clients can access legal services conveniently. Communicate the firm’s commitment to maintaining high-quality client service.
  7. Employee Well-being: Prioritize employee well-being and mental health. Recognize the challenges that come with remote work and provide resources to support physical and emotional health. Encourage regular breaks, flexibility in work schedules, and initiatives that promote work-life balance.

The hybrid work model can represent a significant shift in how lawyers practice, so most team members will require support. By setting clear expectations and controls, but also trusting people will continue doing their jobs, law firms can successfully transition to this new model while maintaining high standards of service.

How Hybrid Law Firms Can Access Office Spaces — On Their Own Terms

At Amata, we saw long before the pandemic how the legal industry was shifting. Technological disruptions and changing attitudes towards work meant that people craved more freedom and meaning, while still prioritizing law firm profitability and growth.

This is why our office-as-a-service model is the perfect complement to hybrid law firms. It allows lawyers to work remotely and protect their bottom line, while still enjoying the benefits of a traditional office space.

Our shared office spaces allow lawyers and professional service companies to have a prestigious business address in Chicago, access a private office or a conference room for the day, and get support from paralegals and virtual receptionists only when they need it. This flexible office space plus support staff on-demand model is why more than 800 law firms choose us.

And there’s more. With Amata, you can access:

  • Scalable office plans where you can add or drop office spaces during the term of the contract, without penalty, so that you can stay agile without the hassle of relocating.
  • Flexible legal support staff (both in-person and virtual) that act as an extension of your work, without the costs and risks of hiring full-time employees.
  • On-demand paralegals, administrative assistants, and virtual receptionists. All pre-vetted for you.
  • A business address in a prestigious area in Chicago, so you can impress clients and keep their trust.
  • Mail handling, scanning, and forwarding.
  • Conference rooms & private offices for the day.
  • Professional live receptionists to meet and greet your clients.
  • Networking events, so you can keep building relationships and growing your business even if you are fully remote.
  • And much, much more!

If you’d like to adopt a hybrid work model for your law firm, but do not want to lose the support services and productive environment a traditional office provides, Amata is for you. Our flexible plans and scalable solutions ensure you protect your profitability, while having access to modern offices that meet your exact needs.

Contact us today to schedule a tour of our locations. Discover how can we support your growth, whether you choose to work remotely, on-site, or opt for a hybrid model.

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How Remote Law Firms Can Expand Their Reach In Chicago, Without Needing a High-Priced Office

Having a remote law firm has many benefits, but it also has its costs. On the bright side, lawyers can reduce commute times, achieve a healthier work-life balance, and sometimes even increase their productivity, while lowering their real estate costs and workplace liabilities.

But almost with the same degree of possibility, lawyers can end up working all day, feel isolated and burnt out, and see a massive drop in productivity. In fact, the 2022 Practice Forward Report by The American Bar Association found that only 13% of lawyers practicing 10 years or more would leave their place of employment for the greater ability to work remotely.

The reality is that established lawyers thrive on relationships and human connection, and remote work can make this significantly harder. That is why a new option is rising today, which is hybrid work.

The Benefits of Hybrid Work

There are 9 things that law firms risk losing when going fully remote, and that can be mitigated by choosing a hybrid work environment:

  1. Limited Access to Resources: Lawyers often rely on law libraries, legal databases, and physical documents. Remote work may limit access to these essential resources, making legal research more challenging.
  2. Client Confidentiality: Remote work environments may not always provide the same level of security as a traditional office, increasing the risk of data breaches or unauthorized access to sensitive information.
  3. Collaboration Challenges: Remote work can hinder spontaneous interactions and face-to-face collaboration, potentially affecting teamwork and communication.
  4. Client Meetings: Building rapport with clients can be more challenging through remote interactions, as it lacks the personal touch and trust-building opportunities that come with in-person meetings.
  5. Technical Issues: Remote work relies heavily on technology. Technical glitches, internet outages, or software problems can disrupt work, delay deadlines, and lead to frustrations.
  6. Isolation and Burnout: Lawyers working remotely may experience feelings of isolation due to the absence of regular social interactions with colleagues. This isolation can contribute to burnout and negatively impact mental health.
  7. Ergonomic Challenges: Lawyers often spend long hours reviewing documents or writing briefs, which can lead to chronic pains and postural issues when working from home without a proper office setup.
  8. Lack of Supervision: Junior lawyers or interns may miss out on valuable mentorship and supervision when working remotely, which can affect their professional development.
  9. Client Perception: Many top-tier clients prefer their lawyers to work from a traditional office setting, viewing it as a sign of professionalism and commitment.

So could there be a way to work how you want, from where you want, without missing out on the benefits of having a well-equipped, professional office?

How Flexible Office Arrangements Work

Amata pioneered an innovative ‘office-as-a-service’ model in Chicago, which allows lawyers to work remotely while enjoying the benefits of a traditional office space. Law firms can take care of business from virtually anywhere, and still access:

  • A Business Address in a Prestigious Chicago Area

Your clients need to trust who they’re working with. Amata provides the hospitality and the professional and personal touch your clients deserve. Amata provides a virtual business address, so clients associate your organization with Class A, prominent office buildings in the Chicago area.

  • Mail Handling, Scanning and Forwarding

A virtual business address also entitles you to receive correspondence at the location and enjoy mail processing and forwarding from the on-site staff.

  • Conference Rooms & Private Offices for the Day

With Amata, you can keep protecting your firm’s bottom line by having a physical office available as needed. Our flexible options allow you to access luxurious conference rooms and fully-staffed offices on demand, and your clients will never know that you aren’t renting the entire space because we customize everything for you.

Our shared office spaces also allow you to pay for only the space that you need. No need to pay for a lavish 200-meter library that you won’t use. And as your firm grows, our scalable plans provide the perfect solution for expansion. These plans allow you to add or drop office spaces during the term of the contract, without penalty, so that you can stay agile without the hassle of relocating.

  • Flexible Legal Support Staff, Including Paralegals and Administrative Assistants

With Amata, you can access corporate-level law firms without the costs of hiring full-time employees. We provide a wide variety of support services to attorneys including paralegals, legal assistants, administrative assistants, and receptionists (both in-person or virtual).

This allows you to focus on billable hours and growing your firm with a healthier work/life balance, while all the important but tedious tasks are taken care of professionally for you.

Our paralegals research cases on your behalf and draft documents while a virtual legal assistant manages your calendar, returns client phone calls, and plans events. They are all vetted and managed by Amata, ensuring you only pay for the services you require without the increased costs of full-time employees.

  • Live Receptionists to Meet and Greet Your Clients

Not all firms are created equal, and your office space should reflect that. Our Live receptionists will project an image of reliability and stability to your clients, meeting them as they arrive at your office and handling any urgent task on your behalf.

Live receptionists protect your time and handle important office-related tasks like phone answering, call forwarding, message taking, appointment scheduling, calendar management, CRM updating, and much, much more.

  • Networking Events

Having served more than 800 law firms for over 21 years, we have noticed that successful lawyers are in the business of building relationships. Amata’s unique model allows you to continue working remotely, but to attend networking events with like-minded professionals you can connect with to expand your partnerships, referrals, and connections.

A Better Way to Practice Law

The concept of a traditional, fixed brick-and-mortar office is evolving. Law firms are increasingly opting for hybrid office spaces that provide flexible solutions to meet their specific needs.

With Amata, remote law firms can continue working how they want and from where they want, while having professional offices and support services on-demand. This provides the perfect arrangement to expand your reach in Chicago while protecting your profitability and the work/life balance you’ve worked so hard to achieve. Contact us today and learn how our virtual office solutions allow you to increase profits while practicing law on your terms.

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5 Things Law Firms Should Consider When Choosing Office Space

The legal industry is changing. The COVID-19 pandemic has reshaped the way lawyers work, with some embracing the flexibility of remote work while others emphasizing the importance of in-person collaboration.

But for most small firms, office space rental is a big expense that needs to be considered carefully. As the legal industry continues to evolve, so do the needs and preferences of law firms when it comes to office space. Is there a solution in-between costly office spaces and having no office at all?

Before you sign that lease, consider these 5 factors that will help you select an office space that meets your unique requirements.

1. Location, Accessibility, and Client Convenience

Having an office with strategic proximity to courthouses, government offices, and clients can significantly impact your firm’s daily operations and client relationships. A conveniently located office not only reduces travel time for attorneys but also makes it easier for clients to reach the firm for meetings and consultations.

Deciding where your law firm will be located also plays a huge role in attracting and retaining the best employees. A recent study by Thomson Reuters of solo and small law firms found that work/life balance is a top priority for attorneys, and your office location can significantly impact this with commute times.

Top clients AND talent are attracted to Class A office buildings in the Chicago area. And with Amata, you can access them in a way that suits your growth needs and budget.

2. Space Design and Layout

When selecting office space, consider the layout and design to ensure it aligns with your specific needs.

For example, most lawyers do not need to come into the office on a regular basis, but they will occasionally require a conference room. Whether it is for client meetings, gatherings with your team, or space to focus outside of home, your office space should have conference rooms available for the day.

With Amata’s hybrid office model, solo and small law firms can have on-demand conference rooms for up to 18 people. You can book a room with tech capabilities for presentations and lots of coffee, so you can impress clients without the fixed cost of a traditional office space.

3. Technology and Infrastructure

A well-equipped office should provide the necessary technology to seamlessly run your law firm. This includes high-speed internet, secure networking, video conferencing, and reliable phone systems to support your legal teams. 

This is why at Amata we provide a full-service law firm space with the flexibility you require. More than 800 law firms and professional services companies benefit from the following (either directly or through our vetted partnerships):

  1. A client in-take process
  2. Support staff (on-site paralegals, live receptionists, docket clerks)
  3. Practice management software and/or a CRM
  4. Billing software
  5. Computers/printers/copiers/mail equipment/phone
  6. Private and virtual offices
  7. Networking opportunities

In today’s competitive environment, reducing your office costs is vital to investing more in technology, automation tools, and compensation. As international lawyer Sandra Chiarlone realized, the result is effectively servicing your clients and growing a successful law practice.

4. Flexibility and Lease Terms

With today’s fluctuations in caseloads and staffing needs, having flexible lease terms becomes a must. Ideally, you would find a comfortable space with a short-term lease that is not costly to terminate.

At Amata, we focus on affordable AND scalable plans. After all, cheap rent may not lead to a reduction in costs. For example, without having the ability to add or drop offices during the term of the contract, you may not know the true cost of hiring a new associate.

But with Amata, if that associate leaves the firm for any reason, that office and the associated costs are terminated — protecting your profitability from incremental overhead expenses.

5. Health and Safety Measures

A home-based work setting may pose challenges in ensuring adherence to post-COVID-19 health and safety protocols. A professional workspace will ensure proper ventilation, sanitization protocols, and established contingency plans for emergencies and crises.

This not only protects the firm from potential liabilities but also strengthens the trust and confidence of both clients and personnel in the firm’s dedication to their well-being.

Conclusion: Selecting the right office spaces comes down to flexibility

It is hard to predict all the factors that may impact your office space. Will you require extra offices? A conference room? New technology?

That is why choosing the right office space for your law firm comes down to flexibility. Location, accessibility, space design, technology, and health and safety measures are all key factors. By having flexibility around these aspects, law firms can create a workspace that not only meets their current needs but also positions them for future growth and success in the ever-evolving legal landscape.

At Amata, we have traditional and modern designs to choose from. All locations are professional, in prestigious locations, and within walking distance from major public transportation. Find the true office flexibility you seek.

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Office Flexibility and Cost Controls

By Ron Bockstahler

The most common question I’m asked lately is “What is happening in the office space sector?”.  With a client base of over 800 law firms and businesses, I usually have a good read on what is happening in the office sector of the real estate industry. Throughout June we have seen an increased demand for office space, but more specifically, the demand for flexible office space has been a top priority. Clients are placing a high priority on office flexibility and cost controls in their office selection.

JUNE CONTRACTS

This last week of June alone, Amata signed 12 contracts and/or amendments with existing clients and new clients. Eight of these were to take additional or new space and four were to reduce space. One virtual client, converted to have a full-time office and a California based law firm sign an amendment to have Amata manage their phone system and answer their phones. In each conversation clients were focused on cost controls by exercising the flexibility in their agreements.

FLEXIBILITY

Not included in the above-mentioned new contracts is a 500+ employee New York based law firm, that renewed their agreement with Amata, adding additional offices. The deciding factor to remain with Amata versus signing a lease for their own space was the flexibility Amata provides. Adding or removing an office during the contract term, without any penalty is crucial in this business environment. Another firm dropped an office from their agreement the first week in June, then added a workstation this past week. Successful firms are adapting to the fast-changing business landscape and controlling costs by taking advantage of the flexible lease and staffing solutions provided by Amata.

COMPETITIVE ADVANTAGE

One of Amata’s greatest competitive advantages is the flexibility to manage expenses quickly to match changes in revenues. The cost structure with traditional office landlords makes it impractical and unprofitable to provide tenants this type of flexibility. When a company signs a lease, the landlord amortizes the cost to build-out the space, cover concessions, and brokers fees. Amortized costs do not go away when tenant downsizes and no longer requires all the space. Expanding beyond the initially leased space, without increasing the lease term, further locks in fixed expenses.

Learn more about how you can add flexibility and cost controls to your office expenses by contacting Amata.

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Amazing Networking Opportunities for Chicago Lawyers

By Ron Bockstahler

If you’re anything like me, there are times we dread going to those scheduled networking events. Not that we don’t want to visit with people, but our schedules get busy, we fall behind on work, we sacrifice time with family, or whatever the reason, it can be hard to carve out the time for planned networking.

Yesterday my COO was telling me a fun story about this past Friday night. Our offices have been pretty busy, with more and more people back in the office. It was past 7 p.m., but still light out and she didn’t realize the time. She talks with a few clients that are still working and they ask her what she is still doing in the office. Without realizing the time, she tells them she is working, of course.

They tell her it is past 7 p.m. and offer her a beverage and ask her to join them in the Cognac room. It turns out to be a wonderful, serendipitous get together with a few clients she knows and one she just met that day. Turns out the client has an aunt that performed on Saturday Night Live and did some training at Second City. My COO has taken classes at Second City and they immediately were able to build on this and come up with a lot of fun memories to laugh about.

The more I think about it, the more I realize that experiencing those serendipitous moments, the opportunities for unplanned conversations with others is what I enjoy the most about going into the office. Nothing is planned, there’s no anxiety build-up or second thoughts about what I am missing or giving up to attend a social gathering. Just unrehearsed, natural conversation with peers, co-workers and friends.

It helps that my office is at Amata Office Suites, where I have the opportunity to meet people, other than my co-workers, in the café, hallway or Cognac room. In my business, just about 70% of our new clients come from referrals from existing clients. For lawyers, I’ve read that upwards of 80% of their new business comes from referrals from other lawyers. Having unplanned, unsolicited opportunities to build relationships with others than can refer you business is invaluable. Consider how your year would change if you received one referral form a serendipitous meeting each year.

If you’re interested in hearing more about how you can leverage Amata’s networking for your business, contact us here to get started.

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A Look at Hybrid Work for Small and Midsized Law Firms

By Ron Bockstahler

We are going on our third year living with Covid-19 and some of the early predictions about a hybrid work/office model are starting to become reality. But the truth is, this reality looks different for almost every law firm and is heavily influenced by personal preference, type of law practiced, and individual situations. When it comes to creating the perfect hybrid work environment, there is no one-size-fits-all solution.

Over the past 30 days, I have worked with five law firms helping them to create a hybrid work environment that will allow them to optimize resources, maximize profitability, and maintain firm culture. All these firms were successful prior to the pandemic and their work volume has been consistently increasing since the pandemic began. Their challenges include maintaining firm culture, developing new associates, coordinating work projects, and keeping their work force from leaving for new opportunities. I will even add my own company, Amata Law Office Suites, into the discussion since we too have experienced similar challenges during the pandemic and are now wrestling with how we move forward. Let’s look at a couple of these firms, their situation and how, at least for now, they are moving forward with hybrid work/office solutions.

Let’s start by talking about the largest of the five firms I’ve recently worked with. Since the project is ongoing, I will not mention the firm name for confidentiality purposes. The firm is based in Florida, with locations in several other states. In Chicago they have 38 attorneys and occupy two adjacent floors in the Chicago loop, about 35,000 sq. ft. in total.  I started talking with this firm about a year ago, late in 2021, as they were considering the best way to move forward with their office space. Like most of us, they wanted to see how the pandemic would play out and how their lawyers and staff would adjust to remote work before making any big decisions on their office space. With enough experience working remote and a lot of input from their lawyers, they are now ready to move forward with a hybrid work/office model they believe will work well for their firm. Their model involves giving up both floors at their Chicago office in a partnership with Amata Law Office Suites, with the firm maintaining twelve offices for lawyers and staff who have elected to come into the office regularly and four offices for hoteling among lawyers and staff that come into the office only occasionally. The firm is signing a licensing agreement with Amata and will use the common areas and conference rooms in the same way as other Amata client. The lawyers and staff without offices have elected to work remotely, only coming into the office for firm meetings or to occasionally meet with clients. By giving up their permanent office space the firm can reduce expenses by just under $800,000 each year.

Next is a three-attorney law firm with two staff members. For the partners of this firm, the remote work model did not suit their work preference. In fact, since the beginning of the pandemic, they have been coming into the office every day. It is common to see the partners meeting serendipitously to discuss a client or case they are involved in. They are all old enough to be empty nesters, so they can work at home without interruptions. Instead, they enjoy the camaraderie the office provides. If I were to rank the reasons lawyers give me for coming into the office, camaraderie and the social aspects would be at the top of the list. For years one of my favorite sayings when talking with my managers has been, busy makes busy. Create a busy environment and people will gravitate to that environment.

Want to learn more about how Amata helps law firms leverage hybrid work? We can help you find the right fit – start a conversation with us here.

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Five Things to Look for in Shared Office Space (Revised)

By Ron Bockstahler

Recent events in the shared office space realm compel me to update this article with a couple of very important points that were not mentioned originally. Today I met with an attorney who was originally introduced to me more than three years ago when he was considering changing his office space. At the time, my company didn’t win his business because he wasn’t unhappy with his space and the perceived hassle of changing addresses for active cases just didn’t seem like it was worth it at that time. Two days ago, the shared office this attorney runs his law firm out of, a large international shared office company, provided a 13-day notice that they are closing the center and all tenants will have to relocate to one of their other locations or find new office space on their own. Now anyone that has ever looked for new office space knows that 13 days is hardly enough time to secure new office space and coordinate a move, especially if your firm has a large active caseload.

Last night I was reminded of another operator that closed their offices and gave their tenants less than two weeks notice to vacate. Many tenants believe that there is little chance of this happening if they join a large national or international co-working company or hared office provider. But almost all the large providers set up each of their locations as individual LLC’s, making it very easy for them to close the non-performing centers with little to no recourse to their parent company. When they do close a center, they provide a very short notice to force their clients to move to another one of their centers that are remaining open.

It’s impossible to eliminate the risk of a center closing, but here are a few questions to ask that will help minimize the risk of going through this very difficult experience. First, inquire about the remaining lease term at the center you are considering. If the co-working operator owns the building, ask them about future plans, what their building-hold strategy is and if the co-working operation has a lease with the building, even if both have the same owners. The next question is to find out what the current occupancy of the center is. We use 85% as a measure of full occupancy and anything under 70% is a red flag that the center could be on the block to close soon. The obvious exception to this is if the center opened less than a year ago and is in the early stages of leasing. To that point, a new center is generally a safe bet that it will remain open for the next 1-2 years, regardless of occupancy. Finally, make sure you understand if the operator is a local, regional, or national operator.

There’s no question that from time to time, offices will close for various reasons, many reasons that are out of the control of the operator. The issue is when operators do not provide adequate notice for tenants to research options and make an educated decision on a new office space. If an operator only has one center, that should be a red flag and you need to scrutinize the deal they are offering very closely. Regional operators usually have several centers, are privately owned, and generally go to extreme lengths to protect their reputation. Even if they do close a center, chances are they will handle it in a professional manner, providing as much notice to clients as possible to protect their reputation in the industry and in their areas they operate.

The last point I will make is regarding taking an office with another law firm. For example, I have worked with several lawyers that have taken an office with a law firm that has a direct lease. The comments I hear most often when a lawyer is electing this option, is the cost is cheaper than a professional co-working operator and they do not need to sign a lease. It is true that the cost is generally cheaper because the lessor law firm is looking to offset a small portion of their fixed expenses for a short period of time. However, the benefit of not signing a lease, often, becomes a liability when the law firm provides a very short notice, generally less than two weeks, that the lawyer must move out because the law firm has hired new staff and will need the office. This almost always leaves the renting attorney in a difficult position at the most inopportune time.

You still want to focus on paralegal support, professional atmosphere and amenities, private office options, the legal network opportunities, and location. But even before you consider these things, make sure you are working with a reputable operator and that the location you are considering checks all the boxes highlighted above. Doing due diligence prior to selecting your next office will save you time and money in the long run.

Looking to get the most out of your office space? We can help you find the right fit – start a conversation with us here.

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Developing New Associates

By Ron Bockstahler, CEO

As most of the world is emerging from the pandemic and trying to figure out what the new normal will look like, many law firms and professional organizations are moving to a hybrid work environment. It’s not like most of us have a lot of choice. It’s an employee labor market and to keep great employees, you must be more flexible than in the past. This past Sunday I was at a benefit for The Simon Wiesenthal Center and sat with the co-managing partner of an 18-attorney law firm. At dinner he stated, “If I go into the office tomorrow and demand our attorneys come back to the office every day, most will quit. They all are in high demand, with too many options and do not want to come into the office every day.” He even referenced a law firm larger than his that recently announced they are transitioning to a 100% virtual work environment.

The one area my dinner guest was concerned about is how do you develop new associates if you rarely see them in person? It turns out this is a big concern for many firms that hire young associates. Virtual law firms have been around for years, and most have grown at a fast pace during the pandemic. The difference is most of the established virtual law firms such as FisherBroyles only recruit experienced lawyers or as they claim, “partner-level attorneys”. But if you’re a solo with ambitions of growing your firm by adding young associates, a purely virtual office model can be difficult.

In full disclosure, I founded a company that provides flexible office space to law firms back in 2002. So, I have been singing about the values of flexible and virtual office space for a long time, mostly on deaf ears in the legal community. Well, maybe not totally deaf ears, we do serve over 800 law firms. My point is, if you are a rain maker and want to grow your firm by hiring young associates to perform the lion’s share of the work, you need some type of office space where you can spend time with your associates to develop them. You are building a law firm based on a different business model than firms like FisherBroyles or Potomac Law Group.

In a different meeting with a founding partner of a 7-attorney law firm last month, this issue of developing new associates was a hot topic. This firm gave up the office space they had for 20 years midway through the pandemic and took a virtual office at one of my Chicago offices. It seemed like this would be a permanent arrangement since the senior partners are empty nesters and enjoyed working from home. But when two associates, with 5 and 7 years’ experience respectively, left for in-house positions, mindsets changed. The question became, how do we develop two new associates working 100% remotely? The solution they settled on was for most of the firm to remain virtual, but to add two permanent offices to spend 2-3 days each week working with the new associates in-person. When you break down the cost between 2 offices in a law firm office suite versus their long-time home with a direct lease, the savings amount to a bit over $240,000 annually.

More important than the financial savings, the firm has been able to create a hybrid work model that satisfies the needs of the partners and the young associates. I’ll keep singing the praises for flexible and virtual office space for 20 more years, but based on what I am seeing today, it won’t be on deaf ears. The legal industry is changing for the better and hopefully these changes will result in a more balanced work/life model that supports individual attorneys while allowing the firm to maintain the connection and culture that develops from in-person interaction between attorneys.

Want to find out more about how your firm could benefit from a hybrid work model? Start a conversation with us here.

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Five Things to Look for in Shared Office Space

By Ron Bockstahler

In the past, law firms were known for sprawling offices, where even the most junior associates had their own private workspace. That changed as larger firms adopted standard-size offices, open floor plans and clustered workstations, and a growing cadre of lawyers — particularly solo practitioners — moved to shared offices. Prior to the pandemic, demand swelled for co-working spaces — including office centers designed specifically for the legal community.

With the pandemic, space needs shifted again. As law firms reconsider their space and hybrid and full-time remote work becomes the norm, the demand for shared office space is rising.

Here’s what you should expect if you’re shopping for legal-only shared office space.

  1. Paralegal support. Some centers offer paralegal staff who can assist with everything from basic administrative tasks to legal research. Some services come at an additional fee, but it saves you the expense of hiring a full-time legal assistant. Paralegals and support staff, typically employed by the shared office provider, can also help line up court reporters, file paperwork and serve subpoenas.
  2. Professional deposition rooms. While amenities like lounges and on-site gyms are common in most shared office suites, private deposition rooms don’t usually make the cut. In centers that cater to the legal community, look for access to private meeting rooms with videoconferencing capabilities to conduct depositions either remotely or in person. You can rent this space as needed, without having to cover the cost for the extra space every day.
  3. (Truly) private office space. Many co-working spaces have open floor plans that group tenants together in one large room or use glass partitions to wall off separate offices and meeting areas. This layout may appeal to startups and creative businesses that thrive on collaboration, but it’s not conducive to the day-to-day needs of most attorneys. Law-specific centers should provide access to lounges and other common areas where you can host guests and network with other legal professionals — without requiring you to give up a private office where you can have sensitive conversations with clients without them feeling like they’re in a fishbowl.
  4. Next-door expertise. Most people choose a collaborative environment so they can work alongside and network with people from different industries. In legal-only centers, you have an opportunity to tap into a built-in network of legal professionals who specialize in different areas of law.
  5. Location, location, location. Proximity to the courthouse is key for many lawyers, so most centers designed for the legal community are located in established legal districts close to the courthouse and other frequented buildings. If your office provider operates multiple locations — either in the same city or, in some cases, across the country — you may have the added benefit of working from whichever center is most convenient on a particular day, eliminating the need to commute back and forth.

The bottom line when evaluating any shared space is to make sure that you are able to reap the social and financial benefits of a collaborative environment without compromising either your professional responsibility or your image.

Looking to maximize your effectiveness in a shared office space? We can help you find the right fit – start a conversation with us here.

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