When a law firm is thriving in a good economy, there are more opportunities to reinvest the profits. When the economy starts to slide, you tend to watch expenses a little closer. Doing both is always a good idea. Either way, it should be done with a “return on investment” in mind.
- How would your business improve?
- What is the payback period?
- Is your firm staying competitive?
- Are your clients benefiting?
Staying lean is an important overall strategy. You always want to be prepared for the unexpected. Whether market conditions are good or bad, you need to evaluate existing contracts and negotiate from
a position of strength.
- Are you getting the best rates from your vendors?
- Is your firm investing money in the right places?
- How efficient is your technology?
- Do you have a low turnover rate with your attorneys?
You’re running a business. Decisions need to be made. There may be the occasional temptation to make unnecessary purchases and then, those that could be an essential investment. You probably are already talking “best practices” with colleagues to create options, if not, it may be a good time to start.
Think back to when you had a full print law library updating sets of reporters and statutes. You had to make choices on the resources to get online and those to keep in print. Many law firms have shrunk their print libraries by more than 50% saving money and office space.
Legal Counsel Consulting has the resources to evaluate legal research providers to assure competitive contracts within the law firm.
If there is any way I can help or if you would like to schedule a brief conversation, please feel free to contact me.
