When Brian Liu graduated from law school, his family and friends didn’t waste any time asking for legal advice and help. And performing those small favors helped Liu recognize an unmet need in the marketplace.
“I was working at a very large Wall Street law firm at that time in their Los Angeles office, and they were charging me out at $350 an hour,” Liu says. “I realized most people can’t afford that amount, and most people don’t have somebody that they could turn to for writing a will or getting a power of attorney.”
In 2001, Liu partnered with Brian S. Lee and Robert Shapiro to found LegalZoom.com, an online legal services company that would provide documents and services to the everyday person in a quicker, more accessible way.
The idea was an instant success, and the company has grown its revenue 4,500 percent in the last five years.
Smart Business spoke with Liu about focusing on what you’re good at and using honesty to build a reputation.
What things can hurt a company’s growth?
Companies make a lot of different mistakes at the very beginning because I think naturally you have this feeling that you’re an entrepreneur and you want to try a lot of different things. The main thing is that, when you’re starting a company, focus on what you’re good at.
There are so many other ideas that pop into your head that are somehow linked to your product. But don’t get distracted, because that core business is what’s really going to propel you forward.
We almost made that mistake. We tried to create a software product, and it took literally six months of effort, sweat, tears, all of our resources, and it just really diverted our attention. Luckily, we got back on course.