One of the most crucial elements of your business as a financial professional, whether you are an IAR, RIA, or broker-dealer, is your legal counsel. Because securities regulations are complex, even a minor mistake can have major regulatory repercussions. Because of this, selecting the best securities lawyer involves more than just looking at credentials; it also involves matching up with a legal advisor who is familiar with the specifics of your practice, your risk tolerance, and your future plans.
Understand the Core Legal Needs of Your Practice
Every company has unique legal weaknesses. Do you require Form ADV help for the launch of a new RIA? Do you have a FINRA arbitration to navigate? Perhaps you want your BrokerCheck record expunged. Your search will be more focused if you identify your primary needs, which include compliance, registration, employment law, and client conflicts. To verify their track record, look for attorneys who have direct experience in these verticals and request case studies or references.
What to Look For in a Great Securities Attorney
Let us start with industry credentials. The perfect attorney should be well-versed in FINRA and SEC rules and have represented advisors or companies just like yours. Beyond the credentials, however, look for someone who can translate legalese into business decisions and is proactive and responsive. You want more than a risk manager; you want a legal partner. Extra points for agreeing to work on retainer models or flat-fee agreements as opposed to hourly invoicing.
Where to Find the Right Fit
Other financial specialists' recommendations are quite valuable. Use a marketplace such as MktProFin to search for securities attorneys by state or area of expertise. Before contacting securities lawyers, it is a good idea to attend seminars or webinars where they present. Prior to recruiting, always conduct two or three interviews. As your company expands, the correct fit can help you save thousands of dollars, safeguard your license, and establish yourself as a reliable advisor.
