Extract from article by Kevin O’Keefe published by Real Lawyers Have Blogs
A large initial investment from a financial partner or not, measuring success with traffic and users proved fatal to Internet companies the last time we had heavy venture capital investment followed by a declining economy.
Startup entrepreneurs and their investors are not the only losers in such a downturn. Lawyers and law firms who start using a product billed as successful because of money raised and traffic/user numbers (often inflated) take a hit. Incorporating what turns out to be a failed service or product into one’s practice management, marketing or professional development efforts can prove to be a waste. A firm’s clients can even be effected.