How David Sparks Started His Solo Practice

Episode Notes

Transcript

New Solo: How David Sparks Started His Solo Practice – 3/24/2015

 

Advertiser: So you’re an attorney, and you’ve decided to go out on your own. Now what? You need a plan and you’re not alone. Join expert host, Adriana Linares, and her distinguished guests on New Solo. Tune in to the lively conversation, as they share insights and information about how to successfully run your law firm, here on Legal Talk Network.

 

Adriana Linares: Hello and welcome to New Solo on Legal Talk Network. My name is Adriana Linares, I’m a legal technology trainer and consultant based out of Orlando, Florida. I bop about the country, helping lawyers figure out how to use technology a little bit better every day and run their practice a little bit better as well. Before we introduce today’s topic, we want to thank our sponsor, Solo Practice University. Make sure to go and visit www.SoloUniversity.com and learn a little bit more about their services. On our last episode, we spoke to Michael Downey, an attorney who had just left his big firm and gone out on his own as a new solo. We’re going to continue that theme today and talk to David Sparks. Hey, David!

 

David Sparks: Hey, how are you doing?

 

Adriana Linares: I’m doing great, thank you so much for coming on the show and talking to us. I have a lot of questions for you.

 

David Sparks: Okay, I’m ready!

 

Adriana Linares: So as I mentioned a minute ago, on our last episode we interviewed another attorney – who you might know – who had gone solo, and I understand that you have also recently gone solo. But before I ask you all about that, I just want to ask you to tell us a little bit about yourself. Because you are not what I put in the category of a typical lawyer. So you tell us about yourself, first, and then I’m going to decide whether or not to hit you up on some specific questions and aspects of your life that i know about, because we’re friends, that make you the non-typical lawyer.

 

David Sparks: Should I be nervous?

 

Adriana Linares: Maybe.

 

David Sparks: So I am a lawyer, I’ve been practicing for 21 years now; I’m in southern California, I’m a business attorney. But I’m also a geek, I’ve been exploring that over many years now. I have a website called MacSparky.com where I write generally productivity-type posts about how to get more productive with your technology; and that kind of mushroomed over the years. I speak at the ABA TECHSHOW most years – I’m not going to be there this year, unfortunately, but I am there most years – and I have a popular podcast called the Mac Power Users where we talk about best practices to use your technology to become more efficient. And I’ve written now seven books about various technology subjects over the years. So in addition to being an attorney, I am also somewhat a professional geek. Is that the part of my life that you were interested in or is there something else I should know about?

 

Adriana Linares: Well, we’ll talk about that in a different show that’s not quite family-appropriate, but that is exactly what I was talking about. And I think one of the things I’ll definitely be asking you about that i know a lot of attorneys are interested and want to hear about is how you’re practicing law with a Mac. Because I think that’s one of the things that really brought you kind of a claim to fame in our little world of legal technology and practice management. Have you always been a Mac? Let’s start there.

 

David Sparks: No I haven’t. I was back in the day for several years at the law firm I used the PC, and I just got tired of it. I know Windows got better since I abandoned it and i know the newer versions are much stronger, but for a while there, it was just terrible and I always had to spend so much time maintaining the computer. I was a geek and I really just wanted to go back to using my Mac and I decided, heck with it, I’ll go ahead and do it anyway. I was in a small firm for most of my career so I kind of had the ability to do whatever I wanted. And I started using a Mac and that did give me some notoriety for a while; although not nearly as much as it would now, because there’s a lot of attorneys out there using Apple hardware these days.

 

Adriana Linares: Right, well but I think that’s the thing is back then, however long ago that was, it was an interesting thing to do, it was kind of rogue. So you were in a PC firm, successful using a Mac.

 

David Sparks: Yeah, no problem, up until a couple of weeks ago.

 

Adriana Linares: Right, and that’s one of the reasons – well that’s the main reason – you’re here, but I’d love to ask you about a lot of other things and maybe we’ll get there.

 

David Sparks: Well, it wasn’t big, it was 3 attorneys.

 

Adriana Linares: Okay. So it was bigger than it is now.

 

David Sparks: Yeah, it is.

 

Adriana Linares: Actually it’s smaller now than it was then, but yours is bigger now. And made you decide to go out on your own and say here’s an opportunity, I’m going to do this. Were there any specific things that caused you to do that?

 

David Sparks: Well, when you’ve been practicing 20 years you start questioning a lot of what are you doing and what’s important to you. And I always knew with the success that I’ve had with the MacSparky field guides and the books and the things I’ve been doing that I would face a point where I have to make some decisions about where do my loyalties lie. I love being a lawyer, I’m one of those weirdos that really likes it. However, I’m not really interested in the commitments that come with being part of a law firm; because as great as it was, having those smart people around me, I was quite often pulled into other people’s cases and I just didn’t have as much control over my time. And what I wanted to do was find a balance where I could control what cases I took, who I work for, still have enough time to do the other stuff I do, and to see if I could make it all work out. And I just decided if I don’t try to do it on my own now, I never will. So I went ahead and did it.

 

Adriana Linares: Okay, so let’s talk about how you did it. So the idea must have sort of stirred around for a while and you probably needed to get support from your family – which I would guess came pretty readily without too much hesitation?

 

David Sparks: My wife is fearless, she is great. It’s funny because one the concerns you have is you have a job at a firm, your health insurance is paid. I’m like, wow, I’m going to have to pay health insurance and that’s not insignificant in 2015. And my wife said, expletive expletive, I’ll go get a job if I have to, whatever. So my family was totally behind me on it and they were very supportive and frankly, the people with the old firm were very supportive. They were like, hey, we get it, once they understood what I was doing. And a lot of my clients left the firm with me, there was no hard feelings. It’s about as amicable of a firm separation that I’ve heard of. We still talk to each other and in fact, I’m probably going to be helping them out with a few things because I have a particular set of skills, as the man said, and so they may need me to come back and help them with a thing once in a while. So it was really not that dramatic when I left.

 

Adriana Linares: That’s good. And tell me the first two or three things that you did. this show is designed to help other new solos or possibly attorneys that are thinking about going out on their own figure out exactly how to do that. So what were the first two or three things that you did? Now I realize, again, you’re not the typical lawyer, so I’m sure you went out and bought a domain name, but tell us the very first two or three things that you did.

 

David Sparks: I had a spreadsheet that I would fiddle in, and I would figure out how much would it cost me to get insurance in malpractice and how much will I spend on research and all the little things it takes to make this stuff work. And then I had another spreadsheet where I had a list of clients and how much do I think they’ll spend with me in a year.

 

Adriana Linares: Did you ask any of them?

 

David Sparks: I didn’t communicate with any clients, the whole thing was done in the dark. And I don’t think the people I worked for would have actually made a big deal about it if I had, but at the same time, that’s part of the law I do, is a lot of trade secret stuff and I know what you can and can’t do. And frankly, I wanted to do it on the up and up. But a lot of my clients are people who have only dealt with me.

 

Adriana Linares: You knew your clients.

 

David Sparks: Yeah.

 

Adriana Linares: So you put them on a spreadsheet and you said okay, well hopefully they’ll come, and hopefully when they do, this is the amount that they’ll likely spend because you looked back at a trend, I’d guess, of what they had spent. So I love the idea of the spreadsheet and did you read any books or did you go to any sources to figure out what columns you’re going to have in your spreadsheet?

 

David Sparks: Well I talked to some friends that have solo practices and what are their expenses, and my biggest sensei in the whole thing was Ernie Svenson.

 

Adriana Linares: Old Ernie the Attorney.

 

David Sparks: Ernie is an amazing guy. And not only was he giving me good advice about the business end of this, he was my spiritual guide. My parents were depression era and I realized that it was really, really difficult for me to walk away from the firm, because I was used to the idea of a regular paycheck, insurance getting paid- *phone ringing*

 

Adriana Linares: Is that a client calling? Do you want to take that?

 

David Sparks: No, that was Ruby Receptionist, as a matter of fact.

 

Adriana Linares: Oh! Let’s talk about that when you’re done. So it was hard for you to leave this nice, comfortable place.

 

David Sparks: Yeah, exactly. And frankly, with my spreadsheet, the math didn’t work out. The clients that I thought would come with me probably aren’t going to add up to as much money as I made at the firm. I was well paid there, it was great, but I’m also already discovering I’m getting quite a few new clients that I didn’t expect to happen this fast; so it’s all working out. So I had the spreadsheet and I would talk to Ernie and get ideas and I got most of that stuff right in hindsight, except I think I underestimated the amount of work I did, so that’s good news.

 

Adriana Linares: That’s very interesting. So, real quick, not to go out of order because in my mind I sort of had an order but this can be a little more met. How did you get those clients?

 

David Sparks: Well I’ve got a lot of friends in the community, I’ve got a good reputation here in Orange County, and when I went out I made an effort to reach out to a lot of attorney friends and say hey everybody, guess what, this is my thing and I had the website all done. I really hit the ground running in terms of having all the backend stuff ready.

 

Adriana Linares: So tell us a little bit about that. What do you mean you hit the ground running, you had the backend stuff ready? So you had the website, you had the domain, tell us a little bit more about what all that means.

 

David Sparks: Well the email, the domain, with a name like Sparks, it’s actually kind of hard to get a good domain because Sparks is a common name and it’s also a verb and a noun so a lot of people have already gotten on to it. Somehow I managed to get SparksESQ.com, which, I don’t know, I just got lucky. And so I know how to set up a website, I mean one of the sponsors in my podcast is Squarespace, and I think they’re great. So I spent a weekend and I set up a website. So once I left the firm, I was able to take that live and it’s a good website. That’s another thing Ernie coached me a little bit in terms of how I did it, because so many lawyer sites are so terrible. They’re so impersonal and I was looking at them and I don’t even have any idea who this person is. So I decided to write a website from the first-person perspective and just tell what my theory is about being a lawyer and the kinds of people I want. And one of the best bits of advice I got was from Ernie, as well, who said write the website to attract the clients you want and to repel the ones you don’t want. And that is a really good piece of advice, because I do litigation work but I’m not a rambo litigator. I’m not the guy who’s going to go out and file a $5,000 motion if I can solve the problem with a ten minute phone call. So I said that on the website, and it works, because the kinds of clients who are hiring me are kind of like me and makes it a lot more enjoyable. So I had all that stuff kind of set up.

 

Adriana Linares: Did you have a mailing list or did you just use your contacts?

 

David Sparks: I just used my contacts. I knew the people, the attorneys that were friends and people I worked with and people I respected and thought who I had some association with. I’m also active in some of the networking groups here in Orange County, so I reached out to some of my friends there and I reached out to my clients. I called my clients and said hey, here’s the announcement and then they would call me and I would talk to them. And they’re all eager to help me too, so they’re excited for me; and so that’s all great. The part of it I didn’t expect was the business end of it in terms of getting the bank account set up, the aisle to trust account, the Rocket Matter Clio blah blah blah question, which one am I going to use. All of that stuff took longer than I expected it would. In my mind I thought it would take a day or two to get that stuff resolved and some of it is still up in the air for me. And so there are some parts of it that took longer than I expected, but in general, at least public facing I had things going and I was getting work pretty quickly.

 

Adriana Linares: Well, sounds like you got pretty lucky, but there is that good old book that actually Ernie told me about, easily ten or twelve years ago; this great book by Bo Peabody who I think he was the GeoCities guy, but his book was called, Lucky or Smart. And it was because when he became a millionaire in his early 20s, people kept saying to him, are you lucky or are you smart. And his response became I was smart enough to realize I was getting lucky, and sort of worked around that and that really sounds like what happened to you. And I’m going to take a quick second to take a break and hear from our sponsors, but we’re going to come back and ask you a few more questions about how you face some of those decisions that you had to make about what to go with and maybe still some of the trepidation you have about some of those decisions. You’ve only been doing this for a few weeks now, we’re going to talk about that too. But like I said, before we move onto our next segment, we’re going to take a quick break to hear a message from our sponsors.

 

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Adriana Linares: Welcome back to New Solo, I’m Adriana Linares and my guest today is David Sparks. David’s an attorney in southern California who’s recently gone out on his own. If you’ve been listening so far, you’ve heard him tell us about how why he decided to go out as a new solo. A couple of planning-ahead moves he made, he got his website, he got a good website, a good domain, got some email. We were talking about how you, David, reached out to as many contacts as you knew to say hey, I’m going out on my own, I’m available this is what I’m doing. You got lucky, and again, maybe you did it very smartly; got some good new clients, so you’re happy about that. Tell us a little bit about your infrastructure. You had a call a few minutes ago from Ruby Receptionist. How did you pick Ruby Receptionist?

 

David Sparks: I knew I was going to be working on the downlow in a lot of ways. I’ve got a virtualized office, I don’t see any reason to rent space because my kids are growing, I’ve got room at home, and I have no problem working at home because I’ve written books here and everything. So I thought, I want to start with low overhead. So I have a virtualized office and conference room space and all that, but I want to have a very professional front for this thing. And I talked to several people and it seems like a lot of these phone-answering services are just terrible, they can’t wait to get the people off the telephone. Really, they aren’t there to provide service at all. And most of them, at least that i was looking at, are going to cost a minimum of about $100, where Ruby Receptionist is $250 a month, which is quite a bit more, but it’s only $150 more than the average price of these terrible services. So I said well, I could pay $1200 a year for something I’m not really happy with, or a little more than twice that for something that’s really good and I’ve been very happy with them so far.

 

Adriana Linares: That’s great.

 

David Sparks: And so they do a really good job of handling things because one of the  great tips with Ruby, by the way, if you use them, is send them an email every morning. I send them an email saying what my schedule is, although I forgot to do it this morning, which is why they’re calling me while I’m talking to you. But I just say I’m in conference or whatever for these hours, and they don’t even bother you during those hours.

 

Adriana Linares: Right, they have an excellent way of communicating with their own clients and then their clients’ clients. So that’s a smart move, I say I’ve been in this business a long time; one of the companies that I rarely hear complaints about is Ruby Receptionist, so that was a smart move. And you’re on a Mac, we already talked about that, which means that you might not have the flurry of practice management options that someone running their business through a PC would. But at the same time, we have more options than ever because of the Cloud-based practice management and case management programs. So you mentioned you kind of had the struggle between Clio and Rocket Matter, which really are the two leaders in the industry right now. So how did you either pick, or still pick, or what were the points you were looking for to decide which way to go?

 

David Sparks: This is where being a nerd gets in the way, because they’re both very good and they’re both very different. And Frankly, I’m friends with both of the companies.

 

Adriana Linares: We all are.

 

David Sparks: I’m friends with the guys who run them. I mean, Larry is actually really a pal, if you go with Rocket Matter, so I’ve been running them both simultaneously. First of all, I started and realized I almost don’t need these things because what I really need is a solid billing system, because I don’t need something to manage my contacts for me. I have a contact system on my Mac that’s really the best in breed, I have a task manager in my system that’s the best in breed. I mean, the stuff they’re offering is great, but the hack of all trades is a master of none. And I don’t need a lot of the bells and whistles on some of those services. But I really need trust account billing and some of these other things, and I’m not sure where I’m going to end up with all of this. So I have tried some of the exclusive billing services like Harvest, and some of those things. They don’t really seem appropriate for a law practice because they don’t have the exact bells and whistles we need for a lawyer.

 

Adriana Linares: That’s always the tough part. When you pick something that isn’t built specifically for lawyers – and I tell my lawyers, my clients and when I’m doing presentations all the time – if you don’t pick something that’s built for lawyers, you end up having to do a lot of patching and finagling, and sometimes it’s just not worth the effort.

 

David Sparks: So right now I’m running both Rocket Matter and Clio simultaneously.

 

Adriana Linares: Amazing, and your computer is not blowing up.

 

David Sparks: No, they’re both really great services. And honestly, they’re very different and if you pick one and one is immediately attractive to you and the other one isn’t, then you’re fine, just go with that. But because I’m a nerd, I can’t help myself. So I’m running them both and I want to get through a billing cycle and then look at it really hard.

 

Adriana Linares: Well we’re going to invite you back afterwards and ask you how you figured out and decided on one. Before we move on, though, I want to ask you, what is your best of breed contact management system you said you use, and what was the other thing you told me?

 

David Sparks: Task Manager.

 

Adriana Linares: Task manager. Yeah, tell us about those.

 

David Sparks: Well on the Mac there’s an app called BusyContacts, it’s a relatively new application, it’s a contact management app. And it takes advantage of my iCloud contacts, which because I’m a solo guy, now I can kind of manage this stuff a lot easier. The problem with big firms is you need all these big firm solutions. You need this exchange blah blah blah whatever, which just means you’re so much less agile, and being small, I can be very agile. So I’ve got a system that I use on this stuff that is super fast.

 

Adriana Linares: So it’s called BusyContacts?

 

David Sparks: Yeah, BusyContacts is one, and then on the Mac there is this application by the Omni group called OmniFocus which is just an amazing task manager. And full disclosure, they sponsor my podcast so think of it what you will. But they are just a really great application and none of these online services could hold a candle to it. So I’ve got that stuff managed, and frankly, in Cloud-based document management with something like Box.com or Dropboxes; so many solutions out there that I could probably get by without Clio or Rocket Matter, but they handle billing so well and they do have those client facing features I can enable.

 

Adriana Linares: The portal.

 

David Sparks: Exactly. And I was thinking I’m going to end up going with one of those two. I’ve kind of now given up on the idea of just getting a billing system because I think some of the other features are useful even though not all of them are. But, it’s actually, Adriana, it’s really tough for me, I’ll tell you, and I’m going to feel really bad when I decide either way because I like them. I have added the emotional weight of being friends with these people.

 

Adriana Linares: Exactly, and you, again, not being the typical lawyer, you can probably text Larry and say oh, I have a problem, and he’ll reply. And Larry’s the CEO of Rocket Matter for those of you who don’t know. You could probably also call Jack up – Jack Newton’s the CEO of Clio – and say oh Jack, I’ve got a problem with this thing. And so right, you are not the typical lawyer, but I think your advice, where if you pick one and it’s working for you, go with it. Because they are both as well as some of their other competitors, actually quite good. I hear a lot of great things I’m definitely entrenched in the business and I hear a lot of good things about many of the other options that attorneys have, but those are at this point certainly the leaders.

 

David Sparks: If you’re listening and you’re like, I really like the way this works, I just need to know which one Dave thinks is the right one, you’re asking the wrong question. Because with those two, you’re going to be fine with either one. So whichever one scratches your itch, don’t think about it anymore. This is my own sickness.

 

Adriana Linares: And I think it’s important that whatever an attorney decides on that they commit to using it to its fullest. One of the problems I always see when I go in is that it was half baked, not fully baked, and the commitment wasn’t put in to set up everything right from the beginning and then you have a lot of issues. And there’s a little bit of commitment that goes into whatever it is you end up picking.

 

David Sparks: And that was a hangup for me because suddenly, I went solo, I expected I’d have some downtime, and I had two or three new cases and my existing clients needed a bunch of work. And I’ve been so busy being a lawyer, I didn’t have time to really sort some of this out.

 

Adriana Linares: I want to go back to something that you said because it actually reminded me of Ernie, who we talked a lot about here – Ernest Svenson is a friend of both of ours. And so I’ve been friends with Ernie for a very long time, since before Katrina, and one of the things that made Ernie go solo when he went on his own was the fact that he was with a big firm at the time and when Katrina struck New Orleans, they weren’t agile. They couldn’t adjust to that problem and that’s a pretty big problem. And he had in the background had his contact list. He had his documents already in the Cloud, so Ernie was very ahead of his time back then. But that is what ultimately caused him to go on his own, was looking back at that big law firm and saying they’re not agile, they’re completely drowning, I can’t make decisions for myself, and it was just such an interesting thing to watch him go through that it’s really interesting to hear you say those very same things during a non crisis time. And experiencing that freedom of being able to do it the way you want and how you want, of course, you’re not a typical lawyer so you get to experiment and look at a lot of these options in very different way, and I think that’s very interesting. You’ve been at it for what, is this a week now? Two weeks?

 

David Sparks: No, actually, about three weeks.

 

Adriana Linares: Okay, three weeks. So what have been your top two surprises that you would not have expected to happen, or decisions that you had to make no matter how much planning you had done before going out on your own, what are a couple of the things that you’ve done?

 

David Sparks: Well, one thing I didn’t think about was scheduling my time. For some reason, I thought that I’d leave and I would have more free time. And of course, even the people at the old firm said you’re not going to have more free time; they were right. But I find myself willing to work now late into the night, things I didn’t do before because I’m still kind of figuring it out. I think you have to be protective of your own time and your family time as you go into being a solo entrepreneurial type. So that’s something to kind of watch out for. And also the thing that I didn’t really think of but a good friend gave me this advice, a non lawyer friend, is making a change like this in your life is one of those rare instances where you have the chance to reset the base line. Where everything you do, you’re going to start making new habits now that you’re doing it in a different fashion that you’ve gone out on your own. So you really should question everything you do in terms of how do you go about doing it. What is the best way to do this because this is the opportunity to set new habits. And I wish I had thought about that more in advance. I’m trying to be mindful about that now as I’m going through setting these new things up, but I hadn’t really thought about that. But the more I think about it, that is a big deal because setting good habits right now is going to make a huge difference for me going forward with this adventure.

 

Adriana Linares: I think that is really great advice because my life is sort of built around trying to help attorneys break old and or bad habits when it comes to practice management and technology. And I think, like they say, hindsight is 20/20. But when you get advice like this from someone like you, hopefully somebody will take it pretty seriously. So unfortunately, it looks like we’ve reached the end of our program and I’m bummed out about that, but David, I hope to ask you back. And in a couple of months, give you a few more lessons about what it’s been like to go out on your own and just teach us some more things. But before I let you go I want to make sure and ask you how our listeners can keep an eye on you on the internet. I like to say how can they stalk you on the internet. And make sure you tell us about your podcast.

 

David Sparks: Stalkers are always welcome. For the legal side, go to SparksESQ.com, and for the nerd side, go to MacSparky.com and all my books and everything is linked there. The podcast is called Mac Power Users and you can get there through MacSparky.com. You can also get there through MacPowerUsers.com; which is coincidentally, my co host is another attorney, Katie Flloyd, over in Florida with you.

 

Adriana Linares: Oh, I didn’t know she was in Florida! Quick question about your books, because we haven’t talked about those, but before I let you go, again. So one of my all-time favorite books was Macs in the Law Office – wait, what is your Mac book? I have it sitting right here but I haven’t looked at it in a couple of days.

 

David Sparks: Mac at Work.

 

Adriana Linares: Mac at Work, which I carry it around when I do Macs in a law office presentation and I say this wasn’t specifically written for lawyers but it was written for a lawyer and it has great advice in it about how to just run a business with a Mac and I think it’s a great book. Any updates to that one coming out?

 

David Sparks: No, that one was just written through widely, so I’m just doing self-publishing stuff now.

 

Adriana Linares: And how do you find those?

 

David Sparks: If you go to MacSparky.com, they’re all there; they’re called the MacSparky field guides.

 

Adriana Linares: I love your paperless guide.

 

David Sparks: Thank you, the paperless is really popular with lawyers, teaches them how to be paperless. The other one that lawyers really like is my presentations field guide, which came out really good.

 

Adriana Linares: That’s awesome.

 

David Sparks: But the more generic book about best tools and practices for using a Mac, that is on the chart. I’m going to make a field guide on that, just not immediately, but it’s in process.

 

Adriana Linares: Well that’s great, I’m so glad you took the time to come on the show and help us get out there and learn more about what it takes to become a new solo. I’m anxious to have you back in a few months and see how it went. So thank you very much, David Sparks, for your time.

 

David Sparks: Can I just add one thing to this?

 

Adriana Linares: Of course.

 

David Sparks: Being a solo attorney, I find that other solo attorneys are just wonderful people. I never realized there was this subculture out there of people who are solos and they’re all looking out for each other and trying to help out. And that is another big surprise. It’s a really nice environment.

 

Adriana Linares: Lawyers are a pretty awesome group of people, and I say that I feel as if I say it with authority because I’ve been doing this a very long time with no inclination to leave the profession and I couldn’t agree with you more. So that’s a great way to end the podcast, thank you so much. For all our listeners, who’d like more information about what you’ve heard today, make sure to visit New Solo at LegalTalkNetwork.com. Of course, you can find us in all the usual places in iTunes, RSS, and Twitter and Facebook. That brings us to the end of our show. I’m Adriana Linares, thank you for listening. Make sure to join us next time for another great episode and remember: you’re not alone, you’re a new solo.

 

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