from intake to invoicing
TRANSCRIPT
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From Intake to Invoicing in Law FirmsA Clio WebinarJoshua Lenon – Clio
David Tulkin – FundboxMichael Chasin - Lexicata
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Instructor
Joshua Lenon
• Lawyer in Residence at Clio• Attorney Admitted in New York• @JoshuaLenon
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Panelists
Michael Chasin - Lexicata
• Law Clerk for the Dept. of Justice – Office of the U.S. Trustee
• Transactional Attorney Analyst • Founder of LawKick
David Tulkin - Fundbox
• Manager at both Demandforce & Intuit
• Senior Business Development Manager at Fundbox
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Agenda
• 360 Degree View of Your Practice (10 minutes)• From Intake (15 minutes)• Case Closed (10 minutes)• To Invoicing (20 minutes)• Questions (5 minutes)
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360 DEGREE VIEW OF YOUR PRACTICE
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Streamlining client experiences benefits both clients AND lawyers.
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• Handles foreclosures & default
• Believed from intake to filing took 14-20 days
• Found average file preparation was 69 days!
• Process improvements reduced time 88% - down to 8 days!
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Embracing process improvement allowed Hunoval Law Firm to save clients an estimated
$4 million via increased efficiencies, better timelines, and error reduction.
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Process Improvement
• Process improvement is hard1. Look at your firm with fresh eyes2. Swallow your pride; you don’t have to do everything3. Track and document everything4. Translate knowledge to workflows
#ClioWeb Source:.Open.Law.Lab
#ClioWeb Source:.Open.Law.Lab
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FROM INTAKE
The$Current$Client$Intake$Landscape
• All.Focus.on.Case.Management,.Why.No.Intake.Management?
• Very.Cumbersome.&.Slow.Approach.(Both.Law.Firm.&.Client)
• No.Repeatable/Systematic.Processes.In.Place
• Limited.Use.of.Technology
The$Pitfalls of$Current$System
FRONT&END&(Client0facing)
• Poor.Customer.Experience:• Inefficient• Frustrating
• Bad.Communication• Response.Time/Type• Misinformed• Miscommunication
BACK&END&(Law&Firm&Operations)
• Disorganized• Wasted.Time• Unhappy.Staff• Likelihood.of.Malpractice
• Lower.Retention.Rate• Lost.Revenue• Wasted.Marketing.$$$
Creating$Your$Funnel
Internal$Processes
• Setting.Up.The.Funnel.(The.Plastic.Casing):
• Speed,.Organization,.Needed.Information
• How/Where.to.Market
• ABA.Rule.7.2.(Advertising).&.ABA.Rule.7.3.(Direct.Contact.with.Prospective.Clients)
• Ethical.Rules/Conflicts.Checks
• ABA.Rule.1.7..[ Need.to.Maintain.a.Current.Conflicts.Check.System
• Assigning.Roles/Responsibilities
• Evaluating.Cases
Evaluate/Change
Evaluate/Change
Top$of$Funnel$– First$Contact
Initial$Contact
• Starts.from.First.Connection.with.a.Lead
• Any.kind.of.meeting.(social.media,.referral,.email,.phone.call)
• Sets.the.tone.for.relationship;.establishes.law.firm.brand
• Be.Consistent.[ This.is.Your.“First.Date”.&.Your.“Facebook.Profile”
• “The.Rule.of.7”
• Manage.Expectations/Explain.Next.Steps
• Need.to.Track.at.the.Top.of.the.Funnel.(CRM)
• Important.to.Segment.Systems.(Lexicata.vs.Clio)
• Know.Your.Client.(Sales.and.Service)
Second$Level$– Collecting$Information
Information Collection
• “The.1:100.Rule”
• Strong.Need.to.Collect.Extensive.&.Accurate.Information:
• Avoid.Malpractice
• Avoid.Bad.Clients/Bad.Cases
• Avoid.Miscommunication.(Rabbi.lawyer.PI.story)
• Finding.a.Balance.– Information.vs.Inconvenience
• Law.Firm.&.Client.Time
• Unnecessary.back[and[forth
• Disrupts.the.Building.of.Rapport
• Develop.a.Repeatable/Scalable.Process.(think.like.a.startup)
Funnel$– Signing$The$Client
Retention$Process
• Time.to.Seal.the.Deal
• Remove.all.barriers
• Make.it.as.EASY.as.humanly.possible
• Clearly.Explain.All.Important.Provisions.(even.though.it.is.in.the.contract)
• Personal.Story
• Clearly.Explain.Next.Steps.(Manage.Expectations)
Last$Step$– Analyze$Results
Perform,$Analyze,$Iterate,$Improve
• Leverage.Data.to.Improve• Adapt.Funnel• Time.Spent• Shift.Focus.of.Practice?• ROI?
• Get.Feedback
• Act.Like.a.Startup,.Not.a.Law.Firm
Dashboard
• Dashboard.view
Conclusion
If.Your.Funnel.is.Not.Growing,.Neither.is.Your.Law.Firm
If.Your.Funnel.is.Not.Improving,.Neither.is.Your.Law.Firm
If.Your.Funnel.Doesn’t.Change,.Neither.Will.Your.Law.Firm
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CASE CLOSED
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Closing a Case in Clio
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Closing a Case in Clio
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Closing a case starts before your open it.
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Steps for Closing Cases
1. Determine scope before opening case2. Document scope in engagement letter3. Discuss case closure before closing the case4. Seek feedback5. Issue final bill6. Document case closure7. Return files, materials, & retained trust funds8. Maintain financial records
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Scope
Rule 1.2 - Scope Of Representation And Allocation Of Authority Between Client And Lawyer
(c) A lawyer may limit the scope of the representation if the limitation is reasonable under the circumstances and the client gives informed consent.
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Closure Discussions
Discussing case closure helps lawyers in three ways:1. Reminding clients of case closing procedures
2. Gauging client satisfaction
3. Determining best billing moment
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Disengagement Letter
1. Makes it clear that representation has ended 2. Indicate any next steps the client needs to take, if
any. 3. Include the outcome of the case4. Instructions to the client about what to do if any
questions arise in the future
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Maintain Financial Records
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Maintain Financial Records
Rule 4-100 Preserving Identity of Funds and Property of a Client
(B)(3) Maintain complete records of all funds, securities, and other properties of a client coming into the possession of the member or law firm and render appropriate accounts to the client regarding them; preserve such records for a period of no less than five years after final appropriate distribution of such funds or properties; and comply with any order for an audit of such records issued pursuant to the Rules of Procedure of the State Bar.
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TO INVOICING
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Invoicing Best Practices
To.expedite.payment,.be.sure.you.have.the.the.following.processes in.place:• A.dedicated.project.manager.for.every.invoice• Time.tracking.in.place.(ie Chrometa).• Send.invoices.electronically. (through.Clio)• Accept.online.payments.(through.Clio)• Ensure.there.is.sufficient.detail.in.each.invoice.to.reduce.back.&.forth
• Add.incentives.for.early.payments.or.penalties. for.late.payments.
Post-Invoicing
Net 30/60/90: waiting to get paid.
The average firm waits 83 days to get paid after an invoice has been issued.
Lexis Nexis 2014
73% of US law firms experience past due accounts.
Lexis Nexis 2014
The Problem with Net-30/60/90
General wisdom says that a business should have at least 3 months of cash on hand to cover all operating expenses.
Why?
“It.makes.me.feel.greedy.to.call.a.client.about.a.past.due.bill.or.to.issue.a.written.past.due.statement”*
“Attorneys.have.a.problem.asking.for.money.after.the.retainer.and.throughout.the.process.of.
working”**
*personal+injury+attorney+for+firm+in+OH**Veteran+paralegal+in+family+law+firm+in+FL
How to Close Cash Flow Gaps
LINE OF CREDIT BANK LOAN
FACTORING ALTERNATIVE FINANCING
The average business spends 25 hours on paperwork to apply for a bank loan.
An Alternative: Meet Fundbox
Create.your.Free.Account
Connect.your.Clio.Account
We’ll.deposit.the.funds.in.your.bank.account.tomorrow!
Manage Advances Against Invoices
One Lawyer’s Story
A..Brian.Dengler Esq.
“If.you’re.a.cost.conscious.practice.that.depends.on.the.cloud.to.be.competitive,.Clio.and.Fundbox.are.must.haves.for.your.
practice.”
“I.thought.the.entire.design.was.seamless..It.was.easy.to.set.up.”
“You.give.clients.a.certain.length.of.time.to.pay,.but.the.problem.is.that.you.still.are.racking.up.expenses,.the.cash.flow.is.uneven.because.the.payments.don’t.
always.come.in.exactly.when.you.want.”
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CONCLUSION
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Conclusions
• 360 degree view of cases benefits clients & lawyers• Commitment to process improvement necessary to
obtain those benefits• Good intake isn't just good marketing; it's good
lawyering.• Closing cases starts on Day 1 of the case• Just because a case is closed, doesn’t mean your
work is done
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QUESTIONS?
