We see the same thing in 1-3 principal sized firms throughout Australia. The Top 8 issues that continually impact on legal firms’ profitability and cash flow are:
- Poor client engagement
- Discretionary pricing and billing policies
- Lack of cash flow management systems
- Too much labour cost for the revenue earned
- High principal productivity and low fee earner productivity
- No structured plan
- No accountability
- No structured time out by the principals to regularly plan and review progress
The profit and cash flow pressure is rarely caused by lack of work. In fact, most firms say that they are too busy, but just can’t grow profit and cash. Albert Einstein defined insanity as doing the same thing over and over and expecting a different result. To improve profit and cash flow in your firm you need to change the structure of the underlying stems to produce behaviours in your firm that are conducive to achieving profit and cash flow growth outcomes. Our Grow Your Firm solution is designed to help:
- Identify the critical 3 actions that you need to take to improve profit and cash flow based on your existing structures and numbers
- Provide you with proven strategies to implement in your firm that drive these changes
- Support you and hold you accountable to implement your actions and achieve your outcomes via fixed structured, quarterly face-to-face meetings at your offices in Queensland, Sydney or Melbourne
View webinar: “Funding to unlock cash for small and medium sized law firms”. View Now >>
Click here to contact Matt Schlyder to discuss your profit and cash flow strategy.
Watch these webinars for more information.
Thinking of Incorporating your Legal Practice? (part 1)
5 Strategies for Profitability Improvement
The 3 Step Process to Cash Flow
How to Increase Profitability in your Law Firm
How to Drive Proactive Revenue in your Firm
Cash Flow – Get it Right
More profit = more cash, but how?