How to destroy the Gordian Knot holding many lawyers hostage to excessive hours of work...

Lawyers often seem pressed for time, even when they work very long hours, and quite often when they don’t generate much revenue for their obvious skill sets, great manner with clients, and excellent reputation.

Robservation...to many this will seem totally counter-intuitive, but my long experience is that many lawyers take on about twice as much client file work as they actually need to.

This inevitably leads to problems in areas of:

·??????Time pressures generally...

·??????Pressure to quickly get a fee estimate out to an enquiring client or prospect...this is the “ease of use” trap in pricing “strategy”...

·??????Potential for reduction in work quality...

·??????Guaranteed reduction in quality of life

·??????Almost certain reduction in value of practice value, limiting strong succession options...

·??????Very importantly, a reduced ability to step back and genuinely explore the potential impact of smarter approaches...very little genuine “palm tree planning” time here!

Imagine being able to reduce ClientTime? by 50% for the same profit outcome.?

Ironically of course, many lawyers feel too busy to have the time to look into this critical area, but they in the main will not be reading this newsletter!

First up, you most certainly don’t need to double what you charge per file to reduce ClientTime? by 50%.

Look at these examples:

In scenario A matter X at $2000 gives those limited firms that do make a genuine profit after Principals’ salaries about 10% profit, $200.

So, two of those matters typically delivers $400 profit.

In scenario B, the firm does only one of those X-type matters at just 20% increased fee, $2400, delivering a $400 profit.

There are only two keys to being able to cut through the proverbial knot...unlocking oneself from the crazy overwork nonsense.

1.?????Some training in basic Pricing Improvement skills...

2.?????Improved business development to help ensure that more of your new enquiry is from both clients and potential clients who are more inclined to respond to being asked the right questions about their aspirations for benefits to them of the services you will provide.

As the matters get larger and the likely fees you are disclosing are higher, the opportunity to benefit greatly from smarter pricing grows exponentially.

In scenario C you have a possible matter that, pre-training, you would have estimated or quoted at $15,000.?

Even if your profit margin is 15%, the profit is only $2250.

In scenario D you may well find that asking permission to ask a few questions (of the right sort) will have the client very satisfied with a fixed fee of $18,885.

Profit has increased from $2250 to $6135...an increase of very impressive proportion!

Back to the original point...

If the next three matters of that nature you get enquiry about are quoted at $18,885 and only one client accepts, profit will be over $6000.

Had you quoted $15,000, and all three had accepted, you would have done three times the work for not much difference in profit at 15% margin, and the same profit at 10% margin.?

The solution is close at hand...

For anyone interested in exploring the vastly improved practising life improved skill sets in these areas offers please reach out to talk about:?

·??????in-house training on Zoom, or?

·??????mentoring provided to individual KMSManagementSupport? members, guaranteed the best coaching investment you’ve ever made.

The time needed to train and price well comes from what you save not having to do double or triple the work you really need to.

Keep safe and well one and all.