Private practice is the representation of clients in exchange for a fee – as opposed to working for the government, in-house at a company, as a public interest lawyer or in a non-legal services job. Lawyers in private practice may, and most do, charge hourly fees; there is an entire subset of lawyers who agree to represent clients in exchange for a share of the settlement or judgment that the client receives in the case (contingent fees).
There are two basic types of private practice, the sole practitioner and law firms. In solo practice one lawyer has their own practice. They may have additional paralegal or administrative help but are the only lawyer in the practice. Law firms consist of groups of lawyers working together, historically organized as partnerships – sharing the profits and losses from their work. Law firms may be sprawling with 1000+ lawyers in offices around the globe, smaller regionally-based firms, or small local firms.