Publisher’s note: The following Q&A is the product of thought leadership series with Dallas legal recruiter Kate Cassidy of Lotus Legal Search. Cassidy started her career in Big Law with Weil Gotshal and Baker Botts before moving in-house to work for the Dallas Stars and later the Texas Rangers, where she was acting general counsel. In “The Corner Office” series, Cassidy will interview leaders in the Texas legal market.
Dallas dealmaker Shane Egan left the prestigious white-shoe law firm Weil, Gotshal & Manges 15 years ago to build a boutique firm specializing in private equity and mergers and acquisitions. The “boutique” model is more familiar for litigation, especially in Texas which is home to several top-tier litigation shops. But Egan’s vision of a transactional-focused firm consisting solely of attorneys from highly prestigious firms who have sophisticated PE/M&A clients and practices has delivered a “win-win” situation for clients and Big Law firms that have referred Egan Nelson work. In this Q&A, Egan elaborates on what makes his firm unique, offers an antidote to burnout, and identifies three management priorities that are front and center for him.
Kate Cassidy: You and a group from Weil founded your firm Egan Nelson 15 years ago. How was that process for you?
Shane Egan: At the time, I noticed an interesting trend where smaller companies wanted access to the premier lawyers at Weil, but they couldn’t afford the rates. Weil also struggled to refer those same companies to other law firms because it didn’t necessarily have confidence in the caliber of lawyers at the other firms. As such, we set out to fill this gap in the market by enabling companies to access BigLaw lawyers, without paying BigLaw rates. It was a nerve-racking decision to finally take the plunge to start a firm, but Weil was tremendously helpful in getting us off to a smooth start, and I’m incredibly grateful to my former colleagues. Then, as we got started, we specifically designed a purpose-driven model to enable additional flexibility for attorneys. This was personally very important for me, and our unique model has enabled us to attract incredible talent that has helped our firm flourish over the years.
Cassidy: How is Egan Nelson doing currently?
Egan: The firm’s success has greatly exceeded all my expectations. It’s clear that clients value our unique model where they get access to sophisticated lawyers without having to pay BigLaw rates or deal with inefficiencies common in BigLaw. I’m incredibly proud of the team we’ve built and the way they’re serving our clients while driving impactful outcomes. As a result, we’re on pace for our best year ever, and we continue to hire.
Cassidy: How would you compare running a sophisticated corporate transactions practice at an AmLaw 20 firm (Weil) vs. at your corporate boutique firm?
Egan: For me personally, the work itself is just as challenging and impactful, but practicing at our firm is much more enjoyable. When we started the firm, we made a conscious decision to eliminate some of the non-billable activities that are often mandatory at larger firms. Accordingly, we have no committees or internal memo writing. We also offer more flexibility and autonomy in respect of office hours, work location, billable rates and client discounts. We provide our attorneys with the resources they need to succeed, and then we get out of their way. Our environment is also less internally competitive and more collegial than the atmospheres of most BigLaw firms. I often tell associate candidates that their success is not dependent upon the failure of 10-15 of their peers. Again, we’ve seen an incredible response to this model, and I’m proud of the team we’ve built.
Cassidy: As managing partner of your firm, what’s a current topic on your desk?
Egan: Currently, one of the main topics on my desk is monitoring the development of AI and its impact on the legal profession. I am working closely with our IT consultants to evaluate and monitor AI advancements and products and how they may improve our operational productivity and efficiency. Additionally, talent development and recruitment are always top-of-mind. Building a strong team is the most important aspect of my role as managing partner, and that’s where I currently dedicate a lot of my time.
Cassidy: What is a trend you see in Texas corporate deal work?
Egan: First and foremost, we’re seeing remarkable economic growth in Texas – corporations continue to move to Texas, and we’re also seeing strong growth specifically in private equity, as the DFW-area is now the third-largest market for PE firms in the U.S. after New York and Chicago.
The other major trend we’re seeing both in Texas and in other markets is that clients are increasingly becoming more fee-sensitive and cost-conscious. This has created a tremendous opportunity for a boutique Private Equity/M&A firm like ours. Our firm is fairly unique in that we are a boutique transactional-focused firm consisting solely of attorneys from highly prestigious firms who have sophisticated Private Equity/M&A clients and practices. As hourly rates and deal fees continue to rise at the top AmLaw firms, it is no longer economically feasible for such firms to handle small- or mid-size transactions or day-to-day portfolio company work.
Accordingly, there are several top AmLaw firms that often refer their clients to Egan Nelson to handle those types of transactions. It is a win-win situation for everyone: the client gets the top-tier legal advice that it has come to expect from traditional BigLaw firms, but at a much better value. The referring BigLaw firm can refer its clients to a firm that is not a competitor and that can handle the transaction, while not diluting its profits-per-partner on the smaller transaction.
Cassidy: What do you enjoy most about the practice of law?
Egan: I really enjoy the opportunity to be involved in high-stakes, transformative deals that have a lasting impact on our clients’ businesses. For instance, I was recently part of a team that facilitated a strategic acquisition that helped our client enter a new market and achieve substantial growth. I loved the process of structuring the deal, navigating complex legal challenges, and seeing the positive outcomes for the client – all while maintaining work-life balance and working with one of the best teams in the legal profession.
Cassidy: What has led to your career success?
Egan: I worked for Weil Gotshal in both Dallas and New York City and had the opportunity to learn from some great lawyers who were strong mentors. It was an invaluable experience and provided a great foundation for my career and starting Egan Nelson. Additionally, building relationships with both clients and team members has been critically important to my success. One of our longstanding clients recently referred to us as his “right arm” – that is one of the best compliments we could have received, and it’s the result of our relationship-driven approach combined with a strong work ethic and a unique ability to get things done.
Cassidy: Any career advice for young attorneys?
Egan: Early in my career, I would often get caught up in the details of work (which is critically important), but I would sometimes forget about the relationship-building aspects of the job. As mentioned above, building relationships with both clients and team members is such an important part of your overall career success, and I encourage young attorneys to focus on developing authentic relationships.
Additionally, as I reflect on my early career, burnout was a significant risk as well. I slept at my desk more days than I care to admit, and it’s one of the reasons I started Egan Nelson. I wanted to provide an avenue for attorneys to maintain their sophisticated practices, but in a boutique environment where they can also prioritize life outside of work. Long hours are unavoidable in our profession, but if it becomes unsustainable, I encourage young attorneys to remember that there are more important things in life, and I welcome having that conversation with them.
Cassidy: What’s your favorite travel destination?
Egan: I love Umbria, Italy. It is less touristy than some more popular neighboring regions and offers a more authentic Italian experience.
Cassidy: What are you reading for fun right now?
Egan: At the moment, I am reading The Reluctant Disciple by Robin Pou. Robin is a close personal friend and a mentor. His book explores the transformative journey of a skeptic who grapples with existential questions and ultimately finds faith through a series of unexpected and profound spiritual encounters.