Don't just accept the seasonal lull. December is a time to smash it!

Legal practices traditionally suffer a seasonal cash flow 'lull' in the early stages of a new calendar year; December and January reducing their opportunity for billables considerably given fewer days and productive time available.

Nup, not me. I don't accept that. Just because 'that's the way it's always been', should we accept the mediocre and dig deeper into our overdrafts in February and March next year, lamenting our inability to proactively address it in December??

"So OK, Ben. What should we do then?" I hear you say.

OK, so it's the 1st of December, 17 business days until Christmas where most firms will commence their shut down period. So here's what I recommend you and your firm do now to shore up your firm's cash flow into February, March 2021, and beyond.

1. Pull out your key client and contacts lists and call them.... All of them. Check-in now and see if they (like you), have anything they need pre-Christmas. Take something off their plates that they may be struggling with completing pre-Christmas.
2. Review your aged debtors and dedicate time to chase ups now. Get your support team involved (if you have them). If need be, get on the phone. If aged debt is not collected pre-Christmas, another 30 days will pass before you even think about it again. If you have debtors in your list you think are a lost cause, bite the bullet and write them off. Start 2021 with a clean slate.....but ONLY if they're totally flat-lining. Any chance of recovery, even 1%, chase it. It's your money!
3. Review your aged WIP. Invoice what you can now, even if it means you need to call the client to OK an interim bill.
4. Take the time now to change your approach to your cash flow. Implement the Lawganised 'Five Golden Rules to improve your Cash Flow' (PM me for a copy). At the very least, adopt Golden Rule #2 and get (some) money in Trust before commencing a matter.
5. Get a vibe going around the office and have a crack on smashing December's results. Set an ambitious target for December to achieve higher productivity and billables than usual. Disrupt the norm.

Having an upbeat and proactive approach to BD and cash flow now will ensure the early stages of the new year are no different, and possibly even better than usual, with regards to your cash flow and performance. Don't just accept mediocrity and let the seasonal lull impact you. Take proactive steps now to enhance your start to 2021.