Need cash quickly?
Revenue from new clients paid within 60-90 days at a law firm is nearly impossible, as the average billing cycle once you do new work is 120 days.
If you really need revenue in 60-90 days, you should look to collecting existing accounts receivable as the first threshold, then focus on doing work for existing clients who pay their bills promptly. To be more effective, you must manage accounts receivable and focus attorneys' attention on doing work for "paying clients."
Continue Reading...A new Jack Welch
See the current issue of Newsweek with Jack Welch on the cover. This is the hard-nosed leader who "created" GE, who became the idol of all M.B.A. graduates and was titled, The Guru of Modern Business." Now, Mr. Welch is talking about the Balance of Life!
I find it interesting that folks who have already made their fortune, and no longer need to work, talk about a "balance of life."
I find it equally interesting that it is generally large firm lawyers who talk about how unseemly it is to "sell" or "market" legal services and vote to use the rules of professional conduct to make it unethiccal to advertise and otherwise solicit for new clients.
Yet, it is the law firms of these very same lawyers that use entertainmnet and other traditional means of marketing to get their business. What's wrong with this picture?
Eat what you kill?
See a discussion comparing the British way and the American way of doing business in law firms.
Yes, there are cultural differences. Perhaps the singular difference is the willingness to think as an "institution" (lockstep compensation) rather than as an "individual" (compensation based on origination). The former makes for longevity while the latter may make for for rapid growth in the short term.
Perhaps it takes the entrepreneurial spirit to get going. Then the challenge is to change that into a managerial spirit, something that proves very difficult, too difficult for most.
The really successful firms, only a few in number, find a way to do this.
Continue Reading...Happy Spring
Spring is here! Does that mean Spring Cleaning to you?
Here's an idea to consider: Many folks begin to clean their offices in the Spring; there's a lilt in the air and a desire/need to rebirth one's environment.
At this time of year, perhaps you'll look at your storage room. Would you like to get rid of some of the old files? Would you like to reduce your storage expenses? Would you like to feel just a bit "lighter" knowing that you have less paper to store?
Continue Reading...It's easy to lose a client: Don't respond
Clients stay with lawyers because of trust. And trust is built by responding to clients' needs and wants. Losing a client is very simple: Don't respond to their calls and requests!
See the March 20th comment by Tom Kane.
The Impossible Dream on this Ides of March
The Impossible Dream is just that, impossible. Unless YOU don't know it's impossible and you go for it! Then, it just might be possible.
That's the point in the March 13th, New York Times article, "Sleeping With the Guitar Player," about someone with no musical talent (according to his wife) becoming a "star" (according to his public).
As lawyers, we have the capability of helping our clients realize their dreams ... What a marvelous opportunity that presents to us! And, with a little business sense, we can even make a good living doing what we love while helping others in their times of need. What a gifted life we live!
"Your call is important to us."
Have you ever gotten lost in "voice mail hell"?
Have you ever wondered why you have to wait so long for someone to answer your phone call?
Here's one example of a very upset customer:
Continue Reading...To Gun or Not To Gun
Does the Judicial System have the authority to ban guns from courthouses? That issue was presented before a Pennsylvania trial court; the judge said the Second Amendment, right to bear arms, prevents the Court from banning arms even in the courthouse.
A Pennsylvania appellate court disagreed and ruled that courts do have the right to restrict guns. Although part of the decision is based on where the gun may be -- in the courtroom, in the judge's chambers or in the halls of the buildings. That seems to be "splitting the hair" too thinly!
While the gun lobby is very strong in this country, it seems to me that carrying a weapon is subject to reasonable restrictions, just as is "free speech." The First Amendment does not give one the right to yell "fire" in a crowded theatre. I'm not sure how or why the gun lobby has been so successful in being treated differently.
The argument that "guns don't kill, people do" evades the conclusion that restricted access reduces the opportunity to use the weapon for offensive purposes. And, historically, the Second Amendment was not created to allow personal attacks, but rather to prevent political abuse by a tyrrany.
I suspect that the current challenge/argument in Pennsylvania is merely a precursor to further litigation. Stay tuned, as they say.
The food industry as a model for lawers!
The restaurant industry can teach lawyers a great deal. A recent article suggests that waitresses and waiters can increase their tips significantly (and increase repeat business) by using a few very simple, but effective techniques.
In fact, there is a website in which Cornell University associate professor Michael Lynn discusses his findings that: 1) casually touching customers increases tips for both male and female servers, 2) touching increases tips more when waitresses touch female customers compared with male diners, and 3) touching increases tips of younger customers more than old.
While not all his findings are transferable or applicable to the legal profession, many are. Basic friendliness, courtesy and consideration go a long way to increase client-attorney effectiveness, increase revenue, repeat business and referrals.
Watch your server the next time you're in a restaurant. When treated well by your server, think about how you can incorporate his/her skills in your practice. When treated poorly, compare those actions with how you and your office staff interact with your clients. Are there lessons there that you can use?
E-mail is very expensive!
How long does it take you to delete spam? How long does it take to review, respond to or delete personal e-mails? How long does it take you to read
Continue Reading...BLOG -- A web log
The Blog tool, created by Six Apart, a company in Northern California, is a classic business case. Started by a married couple, the blog almost stayed as a hobby or personal toy. Only because the couple (both of whose fathers are lawyers) were accused of having little or no ambition, did they focus and are now succeeding well beyond their original concepts.
Continue Reading..."Use it and lose it"
New CA Court Ruling: March 2, 2005
Home Insurers Can Cancel Coverage After Claims Filed or Loss Inquiries
Continue Reading...www.answers.com
As noted in the Wall Street Journal recently (January 27, 2005), search engines such as Google provide us with links. However, www.answers.com provides us with answers. Take a look for yourself.
Rights of privacy further eroded -- by Google!
Google has implemented a feature wherein you can get a map to someone's physical location merely by typing their phone number into the search bar. See www.google.com
Continue Reading...Employers (law firms) owe a new duty to reservists
On December 24, 2004, a new law was signed, the Veterans' Benefits Improvement Act. The new Act modifies the Uniform Services Employment and Reemployment Act.
Employers now must:
Continue Reading..."Of Lies & Lawyers"
The Wall Street Journal reviewed the new television series, "Law & Order: Trial by Jury." I took offense to the inference that defense attorneys are willing to commit any act, even lie, in order to acquit their "guilty" clients.
This is my response to Dorothy Rabinowitz, the author:
Your article, "Of Lies and Lawyers," (WSJ, February 25, 2005) could have made a real contribution to the public's understanding of the American judicial system.
The Constitution of the United States guarantees that all defendants are entitled to a quality defense, not a porous or inadequate defense! Even if the defendant is guilty of the crime charged, s/he is still entitled to quality representation. This is a right guaranteed by our Constitution! Thus, the comment, "I don't care if you did it." If the defendant cannot afford counsel, the government will appoint a public defender.
Continue Reading...
