LawBiz® Blog

LawBiz® Blog

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Category Archives: Cash Flow – Finances

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“Selling” is an essential for all professionals

Posted in Cash Flow - Finances, Management, Marketing, Services
“Marketing” is no longer only for the rarefied equity partner. Quinn Emanuel, a major law firm, announced it will require Associates and Of Counsel attorneys to actively participate in at least one marketing effort during the year. There is skepticism among marketing personnel, and even lawyers, how effective such a requirement will be. It would… Continue Reading

Increasing price of legal services and technology as the antidote

Posted in Cash Flow - Finances, In The News, Management, Marketing, Technology
The number of new lawyers admitted to the bar was lower in 2014 than in 2013; in addition, law school admissions were considerably lower than in previous years. That suggests there will be fewer lawyers ready and able to fill the ranks of the Baby Boomers as they increasingly leave the practice. Prices to consumers… Continue Reading

The more things change, the more they stay the same.

Posted in Cash Flow - Finances, In The News, Management, Personal Thoughts, Technology
Just today, in reviewing materials preparatory to moving my office after 25 years at one location, I reviewed the June 6, 1983 issue of Time magazine. Two articles were of particular significance. One was the cover article about “…stress, seeking cures for modern anxieties…” The other was about education, “…have degree, will travel.” “The class… Continue Reading

Follow the Money … Act Based on the Evidence

Posted in Cash Flow - Finances, In The News, Management, Uncategorized
Jerry Maguire said “Follow the Money. A former labor union leader said “Follow the bank account, not the budget, to see how much money is really available to offer union members-employees. Why is it, then, that some politicians are attacking the Affordable Care Act, originally a Republican proposal, and many economists are saying there is… Continue Reading

Value of Human Assets vs. Value of Capital Assets

Posted in Cash Flow - Finances, In The News, Management, Personal Thoughts, Technology, Uncategorized
John Claassen, in a “guest column” in the February 4, 2015 edition of the Los Angeles Daily Journal entitled “PROTECT THE VALUE OF HUMAN ASSETS,” quoted Bill Gates’ opposition to increasing the federal minimum wage as follows: “If you raise the minimum wage, you are encouraging labor substitution, and you’re going to go buy machinery… Continue Reading

LawBiz® Registry Offers Easy Way to Buy and Sell Law Practices

Posted in Articles, Books, Buying & Selling a Practice, Cash Flow - Finances, In The News, Press Releases, Technology
Lawyers from around the country continue to call me, asking for information on how to sell their practices. In response,we recently opened our LawBiz® Registry.  Visit the archives  for articles about buying and selling law practices and  other ways to monetize the goodwill that you have spent so many years to build. In addition, you may… Continue Reading

7 Easy Steps to Getting Paid

Posted in Cash Flow - Finances, Uncategorized
You’ve worked hard to address the challenges brought to you by your client.  You’ve put other matters aside to deal with his or her crisis.  You‘ve achieved their desired results.  And now, they’ve become a slow payer or non-payer.  Why?  What could you have done to prevent this, to know from the very beginning that… Continue Reading

Are you cheating yourself?

Posted in Cash Flow - Finances, Coaching, Management
The business cycle consists of three elements:  marketing to get the new client and retain the old client; production to produce and deliver the legal service, advice and/or documents; and finance to collect your billings and operate your firm.  The first two tend to be the focus of most lawyers.  Billings and collections tend to… Continue Reading

Baseball

Posted in Cash Flow - Finances, Management, Personal Thoughts
In yesterday’s news, the Oakland A’s (the best team at this point of the season) announced trades that brought them 2 outstanding pitchers. Why did they do this? After reading Moneyball, you will know why. Teams’ trade activities highlight the two seasons of baseball, the first that will end in a few days and the… Continue Reading

Retirement at different times

Posted in Cash Flow - Finances
In Life After Law: What Will You Do for the Next 6,000 Days? I focused on the options available to the lawyer in the last phase of his / her career and how to prepare for a profitable exit strategy.  What I did not address, however, is the lawyer whose spouse is working and may… Continue Reading

MyCase adds to its integration

Posted in Cash Flow - Finances, Management
MyCase legal practice management software has announced an integration with the popular accounting software QuickBooks. This is an important integration, as it allows law firms to have full synchronicity between their practice management and accounting software systems. The integration comes at no additional cost to MyCase customers. For at least 15 years, I have been preaching "integration"… Continue Reading

Pricing contract lawyers

Posted in Cash Flow - Finances, Management
Are contract lawyers an expense or a fee item?  This issue has been litigated before and, according to my reading, has been resolved in favor of the law firm. The law firm is entitled to engage contract or temporary lawyers for one price and charge the client a higher price. One rationale for this is… Continue Reading

Collecting Your Fee is still the key

Posted in Cash Flow - Finances, Marketing
Georgetown Law School’s Center for the Study of the Legal Profession recently suggested that earlier realization rates of 92% have gone down to a historic low of 85%. That means for every dollar billed, the law firm is collecting only 85 cents. My suspicion is that these numbers are reflective of "Big Law," and not… Continue Reading

Lawyers for sale

Posted in Cash Flow - Finances, Management, Marketing
In today’s Wall Street Journal, the writer suggests that high priced lawyers are for sale, that is, that clients are pushing back and demanding lower fees irrespective of the stated hourly rates of their lawyers. The reporter’s perspective is skewed only to the larger law firms, “Big Law.”  Small firm and sole practitioners have always… Continue Reading

IOLTA changes

Posted in Cash Flow - Finances
Reminder note:  IOLTA protection has changed as of January 1st … Be sure you review your clients’ trust account to confirm that your accounts are in balance and that they are below the maximum now protected.  There no longer is unlimited protection … and that means that you may be personally liable for a bank… Continue Reading