Why Elite Law Firms are Circling This Little Start-Up
Bloomberg report
In an effort to help its millennial lawyers develop their role in the community, Davis Polk & Wardwell is purchasing a membership with a start-up that connects junior lawyers with nonprofits seeking associate board members.
Simpson Thacher & Bartlett, Ropes & Gray and Kirkland & Ellis are also in advanced discussions to pay a subscription fee and gain access to the start-up’s network of nearly 500 non-profits, the majority of which are based in New York City, said the start-up’s CEO Rhoden Monrose.
“We’re like LinkedIn, but we’re not getting you a job, we’re trying to get you on the board of a nonprofit,” said Monrose, in an interview with Big Law Business.
Founded in 2014, the company is called CariClub and it has been selling access to what its website calls a “digital community” of non-profits. Its other users include Citigroup, KKR, Third Point and Berkshire Capital.
Davis Polk announced its own involvement on Friday, touting its role as the first law firm to participate.
Monrose explained that the service acts as a retention tool for law firms by getting their millennial lawyers involved in the community, and meanwhile, offers non-profits access to a group of professionals willing to help out with their endeavors.
Users of CariClub can apply to associate board positions at non-profits they discover on its website. Those positions are less formal than a full-time board membership, but still require participants to coordinate fundraisers and attend quarterly non-profit meetings.
“I was reluctant to approach any bigger firms because I figured they were too big and would move too slow and for a start-up like this, it would not be the right move,” said Monrose. “But meeting with Tom Reid (managing partner) at Davis Polk has really changed that. Seeing how quickly they were able to move and get this whole thing set up encouraged me to start going after more firms of that size. In the pipeline in the fall, we have companies like Goldman and Brown Brothers and Jefferies.”
Monrose declined to disclose the subscription fee CariClub charges users, but said it’s often paid under a three-year contract and the non-profits don’t pay to participate.
According to a demo provided by CariClub, each user has his or her own profile page, and a home dashboard that shows various non-profit opportunities that may be of interest to them. The user can then click a button “Apply to Board” to submit an application to be an associate board member for a listed non-profit. The user is required to answer two questions in the application process. 1) Why are you interested in this non-profit? And 2) What specifically would you bring to this role?
The service is not only offered to lawyers, but professionals in banking, accounting and other industries. “It has an element of a professional network to it,” said Monrose.
Davis Polk said in a statement that CariClub will also “provide training, education and resources for Davis Polk lawyers to prepare for associate board service. This includes advice on associate board roles and responsibilities, nonprofit governance, monitoring financial policies and establishing strategic plans.”
Monrose, who founded the company in 2014 after leaving Citigroup where he was a trader, said the company is currently stationed in New York City, but he has plans to expand into other markets. Monrose said that he expects other large law firms to follow Davis Polk.
“It sends a signal to leaders in the industry.”
