8 Strategies to Increase Law Firm Revenue During COVID-19
Published by Matthew Markham on Oct 27, 2020
COVID-19 has left law firms scrambling to ensure they stay afloat financially. However, all is not lost. There are plenty of simple strategies that law firms can implement in order to increase their revenue.
Law Firm Workplace Revenue Strategies
- Wait and See: Instead of immediately jumping to spend thousands (or even millions) on changing your office space, look for temporary ways to ensure social distancing and proper cleaning measures can be put into place. A complete office rebuild in the middle of a lease is not necessarily a viable solution. That being said, it is important for law firms to consider what changes in office usage they may see post-vaccine, when people are able to safely return to their normal work routines. Will your firm see a change in the number of people who work full time in the office? Will more people work from home than before? Make your office space decisions after you've solidified the answers to these questions.
- Re-Invest In Your Workplace: Reducing your firm's footprint in your building to save on real estate expenses now may hurt the firm in the future in terms of long term growth and revenue. As an alternative to reconfiguring firms should look to reinvesting in their workplace. One avenue to explore is looking for lower real estate costs through a restructuring of your lease - the landlord keeps the client and the client doesn't take a huge loss in regards to their real estate costs.
- Look Towards a More Collaborative Workplace: This does not necessarily mean that when everyone returns they should all be working at the same desk in the same room. Instead, firms need to examine whether or not the idea of having every employee working in an individual office really what the future of law firms is going to look like. Following this period of isolation, there is likely going to be a new emphasis on collaboration and community in the workplace, since people are able to get their individual work done at home. Workplaces may shift towards being communal spaces - and people may only go to them for that collaborative environment. It is important to plan out how collaboration is going to play out in your workplace post-COVID.
Law Firm Employee Revenue Strategies
- Use Any Newfound Areas for Flexibility to Recruit New Attorneys: Firms should be hyper focused on remaining cutting edge when it comes time to bolster their ranks. The option to choose work from home flexibility or a full-time in-office commitment can be leveraged to attract and retain new talent.
- Analyze the Effects of Working From Home on Productivity: Are there systems currently in place to ensure it is feasible for employees to continue their work at the same level of efficiency as they previously did in-office? Firms need to consider this question when deciding what degree of at-home work they are going to allow as the pandemic continues.
- Practice Management Software: Having practice management software that provides a method of documenting routines and procedures can increase revenue by ensuring that law offices are maximizing their billable time as it allows firm members to devote more time to billable hours instead of wasting time on administrative tasks.
- Legal Billing Software: Software designed to streamline billing processes are a law firm's best asset nowadays. Inefficient time tracking is a black hole for dollars, so ensuring your firm's time tracking and billing can be completed as effectively and efficiently as possible is imperative when it comes to saving money. Perhaps now is a good time to look into legal billing software for your company.
- Increase Input, Decrease Output: A lot of firms may feel inclined to cut rates during the pandemic to get more clients - however, there is something to be said about clients who want quality and are willing to pay for it. Take some time to evaluate your consumer base and see if they could handle a rate increase. Alongside that, evaluate your firm's spending in order to cut costs. Implementing law firm software can assist with this, or even considering solutions such as virtual receptionist in place of certain full-time staff.