Most of my clients who own their own firms, or are partners in small firms, experience difficulty in managing their firm finances because they don’t block time to attend to financial tasks. Their legal tasks get prime time in their calendar and financial oversight is relegated to whatever time is left over. To overcome this tendency, block time for the following:
• Schedule a regular Cash Flow Meeting – and stick with it. Set up a recurring, hour-long meeting every month with your bookkeeper or office manager to discuss your financial dashboard. Include a 3-month Cash flow projection in the discussion so you always know what’s coming in – or not, and you can plan accordingly. If the cash flow projection points in a downward direction, your marketing efforts should be ratcheted up.
• Conduct a Case Status Review meeting on a weekly or twice-monthly basis. Go through your case list and get an update on all open and active cases as well as those awaiting closure. Don’t let matters linger. Aim to move cases swiftly to completion, while maximizing the results for your clients. Use the time to answer questions and delegate tasks. The more files that move steadily through the pipeline, the greater your capacity to generate revenues.