What Is Fractional General Counsel? A Guide for Growing Businesses

Published: January 23, 2026 | Category: General Counsel

You’ve built a successful family business. Revenue is growing, you’re hiring employees, negotiating bigger contracts, and facing increasingly complex legal questions. You know you need legal counsel—but hiring a full-time General Counsel at $200,000+ annually (plus benefits) feels out of reach.

Meet the fractional general counsel.

More small and mid-sized businesses are using this model to get legal expertise without full-time overhead. Instead of paying for a full-time attorney, you get strategic legal guidance on a part-time, flexible basis—at a fraction of the cost.

If you’ve been wondering whether fractional general counsel is right for your business, this guide will help you understand how it works, who it’s for, and what benefits it provides.

What Is a Fractional General Counsel?

A fractional general counsel (also called “fractional GC” or “outsourced general counsel”) is an experienced attorney who serves as your company’s part-time in-house legal advisor. Unlike traditional law firms that bill by the hour for specific projects, a fractional GC becomes an integral part of your team—understanding your business, anticipating legal issues, and providing proactive guidance.

Think of it as having your own General Counsel—just not full-time.

Your fractional GC acts as:

• A trusted advisor on strategic business decisions
• A reviewer and negotiator of contracts
• A compliance and risk management partner
• A coordinator of outside legal specialists when needed
• A member of your leadership team

How Does Fractional General Counsel Work?

The fractional model is simple: You pay a monthly retainer (or hourly rate) for ongoing legal support tailored to your business needs. The arrangement is flexible—some businesses need a few hours per month, while others require 20+ hours weekly.

Typical engagement models:

1. Monthly Retainer

You pay a fixed monthly fee for a set number of hours or unlimited email/phone consultations. This provides predictable legal costs and priority access to your attorney.

Best for: Businesses that need ongoing legal guidance but can’t justify a full-time hire.

2. Hourly Basis

You pay only for the time you use, with discounted rates compared to traditional law firm billing.

Best for: Businesses with sporadic legal needs or those testing the fractional model before committing to a retainer.

3. Project-Based

You pay a flat fee for specific projects like contract template creation, policy development, or compliance audits.

Best for: Businesses that need intensive legal work for a defined period.

What Does a Fractional General Counsel Do?

Your fractional GC provides the same services as a full-time General Counsel—just on a part-time basis. Services typically include:

Contract Review and Negotiation

• Reviewing vendor agreements, customer contracts, and partnership deals
• Negotiating terms to protect your interests
• Creating contract templates for recurring transactions
• Ensuring compliance with Illinois and federal contract law

Corporate Governance

• Maintaining corporate formalities (meeting minutes, resolutions)
• Updating operating agreements and bylaws
• Advising on ownership changes and equity structures
• Managing annual filings and compliance requirements

Employment Law

• Drafting employment agreements and offer letters
• Creating employee handbooks and policies
• Advising on terminations, disciplinary actions, and disputes
• Ensuring compliance with Illinois employment laws

Risk Management and Compliance

• Identifying and mitigating legal risks
• Reviewing insurance coverage
• Developing compliance programs
• Responding to regulatory inquiries

Intellectual Property Protection

• Protecting trademarks, trade secrets, and proprietary information
• Drafting confidentiality and non-disclosure agreements
• Advising on IP ownership in vendor and employment contracts

Strategic Business Advice

• Attending leadership meetings to provide legal perspectives
• Advising on mergers, acquisitions, and divestitures
• Guiding major business decisions (expansion, financing, restructuring)
• Serving as a sounding board for sensitive business matters

Litigation Management

• Coordinating with outside litigators when lawsuits arise
• Managing legal budgets and strategy
• Resolving disputes through negotiation or alternative dispute resolution

Who Should Consider Fractional General Counsel?

Fractional general counsel is ideal for:

• Growing businesses that have outgrown occasional legal advice but can’t afford a full-time GC
• Family-owned businesses navigating succession planning, governance, or multi-generational ownership
• Companies with recurring legal needs (contract reviews, employment matters, compliance issues)
• Businesses entering new markets or launching new products that need proactive legal guidance
• Companies that want to shift from reactive to proactive legal support

Signs you’re ready for fractional general counsel:

• You’re calling outside attorneys multiple times per month
• Legal bills are unpredictable and often surprising
• You’re making major business decisions without legal input
• Contracts are piling up without proper review
• You’re spending more time worrying about legal issues than running your business

Benefits of Fractional General Counsel

1. Cost Savings

A full-time General Counsel costs $200,000-$400,000 annually (salary, benefits, bonuses, overhead). A fractional GC provides the same expertise at 20-30% of that cost.

2. Flexible and Scalable

Your legal needs fluctuate. During busy periods (like a major transaction), you can increase hours. During slower times, you scale back. You’re never paying for idle capacity.

3. Proactive (Not Reactive) Legal Support

Instead of calling an attorney only when problems arise, you have ongoing counsel that spots issues before they become expensive disputes.

4. Deep Business Understanding

Your fractional GC learns your business, industry, goals, and challenges. Over time, they provide increasingly tailored and strategic advice.

5. Priority Access

You’re not competing with dozens of other clients for your attorney’s time. Your calls get answered. Your emails get prompt responses.

6. Predictable Legal Costs

Monthly retainers eliminate surprise legal bills. You know what you’re paying each month and can budget accordingly.

7. Access to a Full Legal Team

When specialized expertise is needed (like litigation or tax law), your fractional GC coordinates with outside specialists—managing costs and ensuring consistent strategy.

Fractional General Counsel vs. Traditional Law Firm

Common Questions About Fractional General Counsel

Q: How much does fractional general counsel cost?

A: Costs vary based on your needs and the attorney’s experience. Monthly retainers typically range from $2,000-$10,000+ depending on hours and complexity. This is a fraction of a full-time GC’s $200,000+ salary.

Q: Can I still use outside attorneys?

A: Absolutely. Your fractional GC often coordinates with specialized outside counsel (like litigators or tax attorneys) and manages those relationships to control costs.

Q: How do I know if I need fractional general counsel or just a lawyer on call?

A: If you’re calling attorneys multiple times per month, making major business decisions without legal input, or feeling like you’re always reacting to legal issues, fractional general counsel is likely a better fit.

Q: What if my business grows and I need more legal support?

A: We scale with you. As your needs grow, you can increase hours or eventually transition to a full-time GC when the business can support it.

Is Fractional General Counsel Right for Your Business?

If you’re a family-owned business owner in the Chicago area who wants strategic legal guidance without the cost of a full-time hire, fractional general counsel might be a good fit for you,

At Burhanuddin Law, we specialize in providing fractional general counsel services to growing family businesses across 20+ industries. We become part of your team—understanding your goals, anticipating challenges, and providing the proactive guidance you need to succeed.

Ready to learn more? Call (312) 216-5174 or email [email protected] to schedule your consultation and discover how fractional general counsel can transform your business.

Disclaimer: This blog post is for informational purposes only and does not constitute legal advice. For specific legal guidance tailored to your business situation, please consult with an attorney.