Originally from the South Plains of America, Matthew's path took him from aspiring "Washington lawyer" to a small-town attorney on the "cold tough streets of Enid, Oklahoma." After a successful career and what he calls a "midlife crisis," he founded Davis Business Law, which has since grown to include 20 lawyers across eight markets, spanning from San Antonio, Texas, to Denver, Colorado. Our conversation with Matthew offered a refreshing and honest look at how to build a successful professional service business from the ground up.

A Law Firm for the Entrepreneurial Spirit

Unlike large, traditional law firms that often overlook small and growing businesses, Davis Business Law has built its entire model around serving the entrepreneurial space. As Matthew put it, they love working with entrepreneurs because it's inspiring. The firm caters to a diverse range of industries, including the trades (HVAC, plumbing, electrical) and cutting-edge technology companies working on everything from government contracts to "geologic hydrogen."

The core of their service is twofold: helping businesses with their problems, such as lawsuits or partner disputes, and helping them capitalize on their opportunities. This hands-on, proactive approach has earned them the trust of a client base that values practical solutions over esoteric legal jargon.

The Two Biggest Challenges to Scaling a Law Firm

When asked about the biggest challenges in scaling his firm, Matthew was quick to identify two critical areas, which he believes are common to many professional service businesses:

1. Personnel Issues: The most significant challenge is recruiting and retaining top talent. To address this, Matthew has built a "recruiting muscle" and a unique firm culture. While many large law firms have demanding billing requirements (e.g., 9-10 hours a day), Davis Business Law focuses on a sustainable "attorney lifestyle," with a six-hour daily billing requirement. This approach fosters a happier, more balanced team, leading to better retention.
2. Case Finance: Effectively managing collections and case financing is a notoriously difficult aspect of the legal business. However, Matthew's firm has developed an efficient system for invoicing and case finance that results in a much higher collection rate than most competitors, providing the firm with robust financial strength.

The AI Contrarian: A Lawyer's Perspective on Technology

In a world where many professionals are anxious about the disruptive potential of AI, Matthew offered a refreshingly contrarian perspective. While he acknowledges that AI will make certain "junior work" easier and can serve as a great tool for efficiency—like word processing or the internet—he is not "freaked out" by its potential to disrupt the legal industry.

In fact, he shared a fascinating, and somewhat humorous, insight: for his firm, AI is actually creating more work. He explained that many of his clients are using AI platforms to second-guess the legal recommendations they receive. These clients will go from a meeting with the firm to asking an AI chatbot about their case, then return with challenging questions, effectively making his attorneys work harder to re-explain the complexities of real-world law. He believes that while AI has a great "armchair quarterbacking" ability, it often lacks the nuance and reality of a legal case, making the human lawyer's role more crucial than ever.

Copyright in the AI Era: A Major Source of Contention

Matthew was in full agreement that copyright infringement is a monumental issue in the AI world. He noted that AI systems are already "trampling" on copyright laws and correctly identified this as a major source of future litigation and legislation. He even took the thought a step further, pointing out the global complexities of enforcing copyright law across different countries and jurisdictions, highlighting a challenge that will require international solutions.

The COVID Legacy: Remote Work and Digital Courts

Matthew has seen significant changes in the legal world in the post-COVID era, primarily around adaptability and technology. Many firms have embraced remote work, and he shared a striking observation about a major law firm's Houston headquarters that appeared deserted. The pandemic also accelerated the adoption of online filing systems in state courts, a change that had already been in progress but was pushed forward by necessity.

The Future: A Model for Sustainable Growth

Looking ahead, Matthew's vision for Davis Business Law is to continue its deliberate, measured growth. Their model is based on establishing branches with four attorneys and a paralegal in strategic markets. He plans to continue expanding into new territories, including the Midwest and the South, by personally getting licensed in new states. He noted that the explosive growth of cities in Texas, like the Dallas-Fort Worth metroplex, makes these markets particularly appealing for expansion. The goal is to replicate a model that successfully recruits, retains, and keeps its people happy while providing a valuable service to entrepreneurs.

The Best Advice: Be a Plumber, Not a Philosopher

To conclude our conversation, Matthew offered a piece of advice that he gives to the next generation of lawyers: understand that you are in a business. He emphasized the importance of self-discipline, particularly when it comes to billing, and the mistake many professionals make in not viewing themselves as a business.

In a poignant metaphor, he said, "At end of the day, we're just plumbers pushing paper." He explained that clients don't want to hear "stupid, esoteric nonsense" with Latin phrases; they want a solution to their problem so they can get back to making money. His advice is a powerful reminder that the best professionals are those who are practical, disciplined, and laser-focused on delivering real value.