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Family law firms face unique challenges that require innovative strategies to ensure long-term success. In advance of the AAML Annual Meeting in Chicago, Affinity Consulting Group, Centerbase, and 12 AAML fellows discussed how family law practices can adapt to future demands.
The conversation centered around three critical areas: profitability, the transformative role of AI in family law, and cultivating a strong, people-centered firm culture. This summary captures the group’s insights and actionable recommendations, offering a roadmap for family law firms looking to thrive in a competitive and tech-driven future.
Profitability is an important measure of success for any law firm because it helps determine how efficiently the firm utilizes resources and how much value it delivers to clients. Measuring law firm profitability requires analyzing the underlying factors that influence profitability’s core components — revenue and expenses — which helps you identify opportunities to maximize profits and make data-driven decisions.
The usage of AI is changing the way attorneys and law firms operate for good. But rather than fearing AI, the mindful adoption of AI offers tremendous promise to enhance the way legal professionals work, reducing tedium in the practice of law while freeing up valuable time for thinking strategically, identifying creative solutions, and engaging thoughtfully with clients. Embracing AI thoughtfully is an act of helping your firm operate in a modern legal landscape.
Your people are your number one asset. Prioritize onboarding and retention strategies that help you take care of your team and build a strong culture centered on the firm’s values. Implementing these strategies proactively will help safeguard against costly employee turnover and set your firm up for greater success.
Family law firms have an opportunity to set new standards in how they serve clients, support their teams, and use technology to streamline their operations. Embracing this future requires a commitment to rethinking traditional approaches to profitability, talent management, and the role of AI. Now is the time to assess your firm’s strengths and identify where these strategies can make a meaningful impact.
In today's legal landscape, staying competitive and efficient is crucial. If your firm isn’t using an all-in-one legal practice management software to streamline firm and client operations, you’re missing out on the highest level of efficiency and competitive advantages to set your firm apart. The cost of not having such software is too great to not act.
Multiple types of productivity software exist to improve law firms’ efficiency with certain tasks, such as client intake, case management, and timekeeping. But having multiple disparate systems requires opening each one, toggling among them when switching tasks, leading to less efficiency overall, not more.
Yet, many law firms hesitate to adopt legal practice management software that could solve their efficiency woes, underestimating what law firms stand to lose by choosing the status quo. Just like neglecting IT infrastructure, ignoring legal technology can lead to significant financial and operational downsides.
But why do law firm hesitate to adopt legal software? According to Forbes, choosing not to upgrade software is rooted in common fears, including:
Without legal practice management software, you’ll miss out on operational efficiency, best practices, and firm culture benefits that optimize your law practice. Let’s dive into some of the greatest potential costs associated with not implementing an all-in-one legal technology platform.
Building your general ledger accounting into your timekeeping, billing and accounting operations in one platform gives you the most efficient and accurate accounting operations.
Integrating data for each of these processes means you enter the data once, and it populates everywhere. This helps your firm avoid double-entry recordkeeping between multiple software systems, and it ensures consistent data across the entire system.
Without the right legal practice management software, you might even miss out on the ability to integrate general ledger firm and trust accounting in one place, which enables reconciliation across your client and firm accounts. With such a system, you can track every dollar in and out of your law firm.
Without streamlined processes, you and your attorneys are wasting time on administrative tasks. Legal practice management software automates billing, scheduling, and document management, freeing up time for billable work. This directly impacts revenue, as even a small increase in billable hours can lead to substantial financial gains over time.
Without robust software solutions, your firm could be at risk of data breaches. With the high degree of sensitive client information you handle, a data breach can be costly and damage your firm’s reputation. Legal practice management software often includes secure data storage and encryption, ensuring client confidentiality and compliance with legal standards.
Efficient case management is key to client satisfaction. Manual processes can lead to delays, missed deadlines, and errors, frustrating clients. Legal practice management software enhances communication, tracks case progress, and ensures deadlines are met, leading to better client relationships and retention.
Law firms that use technology risk falling behind competitors who are more tech-savvy. Legal practice management software enables firms to leverage analytics and reporting, improve marketing efforts, and offer better services, helping them stay competitive in a crowded market.
Investing in legal practice management software is not just about improving efficiency; it's about protecting your firm's financial health and reputation. The cost of doing nothing can far exceed the investment in the right software solution. If you're considering enhancing your practice with technology, now is the time to act. Don't let your firm fall behind — explore the benefits of legal practice management software today.
The usage of artificial intelligence has entered the legal field, and it will change the way attorneys and law firms operate for good. Now is the time to create a roadmap for adopting AI to make sure your firm is ready. Integrating this leading-edge technology can create benefits for your firm and clients, and you’ll need strategic planning to do it right. Check out this roadmap to get started.
The more educated you and your firm are about AI and its implications within the legal market, the more likely you are to maximize AI’s possibilities while minimizing its risks. Seek educational opportunities to help your entire staff understand the foundations of using AI within law firms, including use cases, benefits, and ethical considerations.
Many vendors and associations are beginning to provide education and guidance on AI for law firms. Begin attending events through your Bar Associations, practice area groups, technology vendors, and Association of Legal Administrators. You could also invite outside subject matter experts to train your team on AI usage.
“Rent” AI products now using SaaS pricing models to begin testing how AI could provide a competitive advantage for your law firm and staff. Many products include free trials or low-cost, short-term subscription options to get started with.
For each product you test, have trial users fill out a rubric to help evaluate the product’s effectiveness for your firm. The rubric can document things like the product’s use cases, accuracy and performance, robustness and limitations, regulatory and ethical considerations, security, user experience, and cost.
Even though AI usage in the legal field is just beginning, many resources exist to help you understand the full landscape of AI. For example, the American Bar Association’s Law Technology Today often covers topics related to AI, machine learning, and automation in law practice.
Of course, a quick Google search will produce a multitude of resources, including white papers on AI in the legal market, checklists to implement AI at your firm, and even sample AI policies to help your firm document its AI approach.
To integrate AI technology effectively, your existing technology needs to be ready for it, too. That means you will need a solid technology infrastructure in place to ensure successful integration and operation of AI products when you’re ready to implement them. Consider these recommendations to get started.
Ensure your firm uses modernized cloud-based technology that supports continued enhancements and updates. By having your client data, research data, and documents in modern platforms, you increase your firm’s ability to quickly access this information within AI platforms.
Speak with your current vendors to understand their AI roadmap and AI usage within their platform. Ensure you understand the underlying technology the vendor plans to use and that it aligns with your firm’s policy on AI usage.
Understand the API access available in your current software. APIs allow you to integrate your products and data with software and could speed up the transition to using AI within your law firm.
Evaluating AI’s fit within your firm could be a significant undertaking, so be prepared to dedicate some resources to it. You will recoup costs incurred during this research and evaluation phase by avoiding surprises and setbacks with a well-prepared AI integration plan.
While you might need one point of contact to organize the effort, forming an AI task force within your firm allows multiple stakeholders to weigh in, ensures diverse perspectives and user groups are considered, and helps your firm prioritize AI and other emerging technologies.
This task force can begin identifying specific AI use cases within the firm, such as document review, contract analysis, legal research, or client communication. Prioritizing the use cases where AI technology can provide the most significant value will allow the committee to begin architecting your future technology stack to support them.
The committee should also be responsible for drafting policies and guidance on how your staff can use AI. This helps ensure your firm factors in compliance and ethical considerations when making decisions about using AI.
It’s time to move from research and analysis to implementation. Synthesize information from each roadmap component above to determine your next steps. How you prioritize what AI solutions to implement will depend on your firm’s unique set of users, client needs, existing technology infrastructure, budget, and many other factors.
Communication will be critical throughout your firm’s AI journey. Remember to update stakeholders frequently, hold training sessions to upskill your staff on AI technology and its implications for their roles, and continually monitor how AI is working for your firm and clients.
Following these general guidelines will help you begin your AI journey. For more information on integrating AI in your law practice, check out these resources:
Strategic financial planning is essential to ensure firm stability and growth. Modern law firms need precise financial data to target opportunities to improve their bottom line and set them up for success, all of which can be accomplished with industry-leading law practice management software (LPMS).
Here are five steps to optimize your law firm’s financial planning.
Take the pulse of your firm’s financial health by reviewing your financial statements from your LPMS. Automated, detailed income statements and balance sheets save time and reduce the risk of errors associated with manual data compilation. Reviewing financial and performance reports can help you identify areas of concern so you can take proactive measures to address potential issues.
The most accurate records are found in an LPMS that integrates timekeeping, billing, and accounting data all in one platform. Integration helps firms avoid double-entry recordkeeping between multiple software applications and ensures data congruency across the entire system: if you enter data once, it populates everywhere.
Leading LPMS platforms also integrate general ledger firm accounting and trust/retainer accounting in one platform. For example, Centerbase’s accounting tools double-check all of your client and firm accounts and complete a three-way reconciliation of your trust accounts, comparing your bank balance to your trust ledger to the sum of your individual client ledger balances, keeping you compliant with IOLTA best practices and state bar requirements.
Conduct a comprehensive assessment of the financial objectives you set for the firm in the previous year. Review your progress against goals, examining aspects such as unexpected expenses, marketing outcomes, and shifts in advertising costs. A detailed analysis enables informed adjustments to your business strategy for the coming year and helps you adapt to changing market dynamics.
Your LPMS likely has features for setting and tracking financial goals that allow you to monitor your fiscal performance in real-time. Leading LPMS platforms give you easy access to key metrics with customized dashboards and reporting that allow you to quickly evaluate whether you are meeting their financial objectives and make data-driven adjustments.
After scrutinizing whether you met last year’s goals, it’s imperative to update your firm’s budget for the upcoming year. Consider any changes in the business landscape, including new expenses or variations in revenue. Smart resource allocation and accounting for unforeseen expenditures are critical to maintaining financial stability.
Your LPMS can help you create, manage, and update budgets seamlessly. Top platforms integrate with other financial tools that allow you to adjust budget allocations based on changing circumstances, ensuring that your budget accurately reflects your firm’s financial priorities.
Understanding incoming and outgoing cash and taking preemptive steps to address potential cash flow challenges are imperative. LPMS makes it easy to track client payments, invoicing, and expense management in real-time so you can take a constant pulse on your cash flow. This data can help you negotiate extended client payment terms and manage expenses more effectively.
Identifying opportunities to reduce costs is integral to enhancing net revenue and overall profitability. Law firms can explore various strategies, including adopting more cost-effective solutions and streamlining operational processes. Your LPMS can identify areas where you can optimize costs. Check your software’s expense tracking features to analyze spending patterns and identify opportunities for negotiation with suppliers. A detailed breakdown of expenses can help you make informed decisions on cost-reduction strategies.
Finding new ways to boost your firm’s revenue can be difficult, but data from your LPMS can highlight the way. LPMS with robust profitability reporting tools can help you track profitability at the individual, practice group, office, and entire firm levels to pinpoint how to improve your firm’s financial performance. Based on your results, you may want to expand your firm’s service offerings, target new client demographics, or revisit pricing structures.
LPMS with advanced automation features, such as automated time capture, can help ensure that you are maximizing your attorneys’ billable hours. This software can also help you accelerate invoicing and follow up with slow-to-pay clients, improving your revenue stream.
Engaging the services of a professional accountant or financial advisor provides valuable insights and ensures that financial decisions are grounded in expertise. Your LPMS is a collaborative platform where financial professionals, such as accountants or financial advisors, can access relevant financial data. Centerbase offers accountants a free login to help with end-of-year audits.
Strategic financial planning ensures modern law firms run like a business. Following these tips and optimizing your use of your LPMS can position your firm for sustained growth and profitability.
Check out Centerbase’s robust accounting and financial management features to learn how we can help you strengthen your law firm’s financial performance.
As the year’s end approaches, it’s time for law firms to close their books and start end-of-year audits. This annual task ensures that accounts are balanced and sets the stage for a financially sound start to the new year. However, this process can be stressful if your law firm doesn’t follow accounting best practices.
Here’s a step-by-step guide that will help your law firm sail through the audit process. (You can also download our handy end-of-year accounting checklist for law firms here.)
Review and organize all financial records, including invoices, receipts, bank statements, and expense reports. Ensure that all transactions are accurately recorded and categorized throughout the year to maintain a real-time overview of your firm’s financial health.
Check whether billable hours are up to date. Nudge your attorneys and other timekeepers to get their time in regularly as you head into the holidays. Automated time capture can make it easier for your timekeepers to stay on top of their billables.
Run your accounts receivable reports to understand what amounts are outstanding. These reports can help you determine what amounts to chase down and what to write off.
Develop a comprehensive list of clients with unpaid invoices, including their name, matter number, amount owed, and date overdue. Prioritize invoices for action, starting with the most recent unpaid ones. The odds of collection decrease with time, especially when you’re trying to collect over the holidays. Start reaching out before Thanksgiving to clients who have been historically slow to pay outstanding balances.
We recommend starting the collection process by sending reminders to clients regarding their outstanding balances. If you aren’t already, accept online payments to make it easier for clients to pay you in just a few clicks.
For aged invoices, consider offering clients the opportunity to settle a portion of the debt in exchange for forgiveness of the remaining balance. You may also want to set up a payment plan for clients who might need another quarter or two to pay your law firm back in full.
Review all expenses your firm incurred throughout the year. Verify that these expenses are accurately recorded, categorized, and supported by proper documentation. If you have any outstanding debts with vendors or contractors, settle them before you close your books.
Update records of your firm’s fixed assets. These long-term assets have a usage life of longer than a fiscal year. Some examples of fixed assets are new laptop computers, software, and office furniture.
Run depreciation calculations for these assets using your accounting software. You may be able to write off this depreciation as a tax deduction.
Review and verify all payroll tax withholdings and payments. Make sure you accurately report these taxes to federal and state authorities.
Verify and update employee and contractor records for W-2s and 1099s. Confirm that all necessary information is accurate.
After you have finalized and entered all of your revenue, expenses, and data into your financial systems, run the following financial statements:
After you record all revenue and expenses, perform bank reconciliations to ensure that all financial records line up with bank statements. Investigate any discrepancies thoroughly.
A best practice is to reconcile your statements monthly and as soon as bank statements arrive. Otherwise, your law firm will need to contend with 12 months of bank statements in a short period, making it more challenging to identify errors.
Additionally, many jurisdictions require law firms to reconcile client trust accounts at least quarterly, if not monthly. You should still complete year-end trust account and retainer reviews. Your annual review is an opportunity to double-check reconciliations done throughout the year and correct any mistakes. The ledger sheet for each client’s trust account should line up completely with the corresponding bank statements.
Also review client retainer balances to determine which retainers need to be replenished. Ensure that all earned funds have been appropriately transferred into operating accounts from retainers held in trust.
After you have finalized and studied your year-end financials, close your books. You may want to set a lock date to prevent future changes plus a password to limit access.
The next step is to review and adjust your billing and accounting practices based on what you learned. For example, your data will show whether you need to adjust your time tracking and billing practices to ensure that all timekeepers record their tasks and send out bills on time.
The best way to prepare for the end-of-year audit is to stay on top of your firm’s accounting all year long. By following these best practices, your firm won’t build up problems over the year.
Stay tuned for our next blog, where we’ll explore how law firms can financially prepare for the new year. In the meantime, contact us to learn how we can help you close the books on this year.
Agile, streamlined processes are what modern law firms need to effectively handle the full gamut of activities required to take a matter from client intake to paid in full. . Firms are under constant pressure to optimize their workflows, reduce manual errors, and maximize billable hours. Technology can address these challenges. But do you have the right technology to be effective — meeting client, staff and attorney expectations?
That depends. Have you embraced workflow automation yet? To get ahead of the curve, you’ll want to look into law practice management systems that offer more than out-of-the-box solutions — you need workflows personalized to your law firm’s needs.
Some workflow automation is better than none, right? Well, it depends. Although the standard workflows that come with some legal practice management software can be convenient and save time, they fall short of custom workflows in several critical ways.
Out-of-the-box workflows follow a one-size-fits-all approach, assuming all law firms have similar processes. However, a generic workflow might not work for different practices because, for example, criminal defense workflows differ markedly from those of a real estate firm. Pre-built workflows might miss steps critical to your practice or include irrelevant steps that can lead to inefficiency and redundancy.
Generic solutions can also hurt adoption. Employees are more likely to engage with technology when it aligns closely with their daily tasks. Out-of-the-box workflows might not resonate with lawyers and staff, leading to low adoption rates. When users don’t fully embrace automated processes, your firm won’t realize the full value of your investment in technology.
A personalized approach to workflow automation can significantly enhance the efficiency of a number of law firm processes. Here are just a few examples:
Workflow automation, especially when personalized, helps law firms work the way they want, and do it faster and more efficiently. By automating tasks like client intake and billing, law firms can reduce errors, accelerate results, and enhance client satisfaction. And, beyond saving time and boosting profitability, customized workflows help firms work the way they’re used to, encouraging adoption and sustaining the usefulness of the software for the firm.
Get a demo today to discover how Centerbase can customize workflows to meet the needs of your law firm.
Written by Carson Bailey, M. Ed.
Before you can implement new legal software, you must convince your lawyers and staff to adopt it. And to adopt new technology, legal professionals must understand its features and functions — and how they will benefit from them. That requires in-depth training.
But training can’t be one size fits all. After all, no two people learn the same, and you need to cater to their learning preferences to maximize their information intake — and the return on your technology investment.
The success of your new legal software hinges on user competence and confidence. In this article, we’ll share how to design a training program as part of your change management initiative when adopting new software that will appeal to your team and ensure your new solution achieves its expected returns.
But first, let’s explore why you should invest in training.
While balancing employee training and billable hours can be challenging, the rewards that stem from well-trained staff far outweigh the initial resource investment. Here are just some of the benefits of prioritizing staff training.
To achieve these benefits, you must ensure that your training follows best practices.
Setting up training for lawyers and staff on new law practice software requires a strategic approach to ensure a smooth transition to new software. To encourage lawyers and staff to engage with training, you must align it to their needs and make it valuable and motivating. Time is precious, so training must be efficient and effective, given the responsibilities already filling legal professionals’ plates.
Consider following these best practices to strengthen your next software training:
The successful implementation of new software in a law firm requires a comprehensive training strategy. Adult learners have distinct needs and preferences, and tailoring training to meet those needs is critical for a seamless transition.
By adopting the right training methodologies and involving the right stakeholders, law firms can navigate the challenges of software implementation and equip their teams with the skills needed for a competitive edge in the legal industry.
Contact us today to learn more about how Centerbase training is designed to ease the transition to new technology and accelerate your law firm’s productivity.
Executive directors and legal administrators play a crucial role in the smooth operations of a law firm. They wear many hats, ensuring organization, facilitating communication, balancing accounts, and scheduling dockets, among many other things. They’re the drivers behind the business of law making sure that nothing slips through the cracks.
But all of these responsibilities require a specific kind of person and can add up to a highly stressful job. Fortunately, legal technology makes it easier than ever to support legal administrative staff so they are able to focus on higher-level work and do so with and less unneeded stress.
In this article, we’ll discuss how to attract and retain law firm administrative staff, including how technology can help you deliver the support that administrative personnel need.
A 2022 Report on the State of the Legal Market from the Thomson Reuters Institute and the Georgetown Law Center noted “serious retention challenges with respect to professional staff other than lawyers.” In a tight talent market, “many [administrators] feel empowered to shop around to improve their compensation and working conditions. Law firms may have to confront something they haven’t seen in the legal industry in quite a while: leverage owned by those who are not attorneys.”
In today’s environment, legal administrative professionals know they have earned better work conditions. They want to feel valued in terms of compensation and recognition and want to have a better work/life balance. It’s clear that law firms need to act now to ensure that they can both hire and retain top administrative talent.
To attract and keep legal administrative talent, your law firm needs to take a strategic approach. Here are a few ways that your firm can get started.
Money talks: it’s an obvious reason that people choose a job and stick with it. People want to be paid what they are worth and receive compensation consistent with the value that they bring. By offering compensation and benefits packages that align with what’s being offered in the legal market, you’ll show new talent that your firm values their role and prevent them from looking to jump ship to your competitors.
However, it takes more than just compensation to make a staff job at a law firm fulfilling.
Over the years, some law firms have maintained a de facto caste system that separates lawyers from nonlawyer staff. The very word “nonlawyer” is part of the problem, minimizing the importance of the work that law firm staff do. This type of firm culture sometimes also leads to heavy investment in tools, technology, and benefits to support lawyers but less investment for staff. This approach hurts the efficiency of the entire firm.
To ensure you build a culture that supports legal staff, emphasize the strategic importance of administrative work and highlight the varied responsibilities that administrative personnel have and how they help your law firm function and grow. We also recommend outlining clear career progression paths for administrative professionals in your organization. For example, a firm can offer opportunities for continuous learning and development, such as training programs, workshops, and certifications. Also consider how you can implement technology designed to support them working more efficiently, such as tech platforms that enable them to streamline calendaring, simplify document management, improve billing practices, and handle other strategic tasks.
Work/life balance is important across the board and it plays a crucial role in attracting and retaining top talent, including legal administrative staff. Administrative staff typically face demanding workloads, tight deadlines, and high-pressure situations along with attorneys and both sides appreciate benefits such as paid time off and flexible work arrangements.
Hybrid work arrangements are an important perk for today’s admins, and enabling staff to work from home requires the right legal technology. Cloud-based legal software allows administrative personnel to work from anywhere. The right matter management platform will put all of the essential information about a matter or client at your staff’s fingertips, keeping all related records such as texts, bills, and documents corralled in one place. A cloud-based client portal avoids back-and-forth, time-consuming emails and reduces the repetitive work on your admins’ plate by giving clients direct access to the answers they need. Leading cloud-based document management platforms preserve client confidentiality and protect sensitive matter details, eliminating the risks of sending confidential documents in unencrypted emails.
But improving the work life for your team goes beyond access. A critical part of making work more fulfilling requires firms to give staff the tools that simplify their work.
Automating tedious, repetitive, manual work like pre-billing and client intake not only makes admins’ work more efficient, but it also means that your team can devote their time to higher-value work that requires a higher skill level. Allowing administrative professionals to focus on more strategic tasks creates a more satisfying work environment. You can also improve their workday with tools that foster communication and streamline project management. This technology reduces administrative bottlenecks, enhances efficiency, and fosters collaboration, all of which can help attract and retain legal staff.
Enhance your law firm’s brand
There are lots of reasons to invest in branding, one of which is that legal administrative professionals in the market will Google your law firm’s website and assess its online presence, including not just its job listings but also its culture. A well-designed, informative website enhances your firm’s credibility and professionalism, which can attract high-quality administrative staff seeking career opportunities with reputable, forward-thinking organizations.
We recommend a professional yet friendly website that includes staff and administrator bios. This will emphasize to candidates that administrative professionals are a valued part of your firm’s legal team. You can also share testimonials from staff and offer a glimpse into what it’s like to work for your law firm, so candidates can determine whether they’re a good fit.
In today’s competitive job market, your law firm needs to do more than offer a competitive salary and standard benefits. You also need to invest the overall importance of your administrative staff, including in legal technology, showing them that you value them and their work enough to help them do it more efficiently and with fewer headaches.
Attracting and retaining top legal talent is critical in today’s competitive market. A team of top attorneys gives your firm a competitive edge and ensures your firm will continue to impress clients with quality legal work.
In this article, we’ll cover four ways to attract (and retain) top legal talent, with an emphasis on how legal technology can help you do both.
With recent layoffs at large law firms and the incoming classes of law school graduates, there are great opportunities for smaller and midsize firms — if they can compete effectively in the job market.
Today’s top legal talent has high expectations: competitive pay, opportunities for professional development, a meaningful work/life balance, and leveraging advanced legal technology. While meeting these expectations may seem challenging, it’s essential for law firms that want to attract and retain the best lawyers and staff.
Let’s get into some specifics.
Top legal talent expects to be paid what they are worth. Offering a competitive salary and comprehensive benefits package is crucial to attracting new lawyers and staff. A higher starting salary and market benefits (e.g., health, dental, and vision) will translate directly into more applications for open positions and higher retention rates.
Of course, if you get into a salary tug-of-war with your competition, you’ll eventually run out of cash. Increases are only sustainable to a point. That’s why your firm should focus on the totality of what it has to offer, including training, work/life balance, and technology that makes the job easier.
Top legal talent typically wants opportunities for professional growth and development so they can stay ahead of the curve. As a law firm, it’s important to offer these opportunities at all levels of practice.
For both lawyers and staff, constructive feedback and positive encouragement are important. By providing personalized feedback and having one-on-one meetings and not just waiting for end-of-year performance reviews, your attorneys and staff members will feel supported in their learning and will believe that there’s a path forward for them in the firm.
More formal learning opportunities are also essential for attracting and retaining skilled attorneys. Incorporate opportunities for continuing legal education (CLE) sessions and conferences in your learning and development budget. Investing more in learning and offering growth opportunities means your lawyers will be prepared to deliver better work to your clients — and more satisfied clients mean more income for your firm.
Work-life balance is key in attracting top talent, especially if that top talent consists of younger attorneys. Lawyers work long (and often stressful) hours on cases and acquisitions, so offering a supportive environment is crucial in counterbalancing the other demands of the job.
By offering flexible work arrangements — like remote or hybrid work or adjusted work hours — you’ll provide lawyers with the tools to manage their personal responsibilities. This includes flexible arrangements for new parents or employees who might need to work remotely to care for an aging family member. By providing flexibility, your firm will emphasize its commitment to supporting its attorneys and staff, and in doing so will attract the best of the best.
Legal technology can be employed to make it easier for attorneys to get their work done anytime, anywhere. Cloud-based legal software that enables secure remote access of case files, documents, and other client materials means lawyers can work from home or on the road more easily. Leading legal software platforms can enable lawyers to communicate and collaborate seamlessly with team members and clients through document sharing, messaging, and videoconferencing.
Advanced legal technology isn’t only important for offering flexible work arrangements — it’s also an expectation for incoming top talent. Good legal tech makes life easier for attorneys by streamlining work processes and increasing efficiency. It allows lawyers to work smarter by calendaring deadlines, prioritizing billable tasks, and ridding themselves of mundane or repetitive tasks through automation. Time capture tools make it easier than ever to keep valuable billable minutes from falling through the cracks.
While lawyers may be wooed by an attractive compensation package, they won’t stay if they don’t like working for your firm. An important part of your firm’s culture rests on how well you enable your lawyers and staff to work. That requires an investment in the latest legal technology.
This means tools to help with everything from case management to removing the tedium of timekeeping and billing (maybe the most frustrating of all law firm tasks).
And tech that enables internal collaboration, helping teams build a collective knowledge base that everyone can access and improving work quality, avoiding duplicative efforts, and accelerating results. For instance, a fully integrated matter management system will help keep everyone on a team up to date on matter status and highlight roadblocks where someone may be able to offer their expertise. Teams can also collaborate in real-time and track matter status, allowing for greater flexibility while also building a sense of community.
Everything is connected this way: better tech leads to less tedium, allowing lawyers to get their billable work done more quickly, which gives them more time to focus on their personal lives and find their own preferred work/life balance.
Of course, one of the best ways to convey to talent that you are the right choice for them to excel in their legal careers is to have an up to date and professional website. today’s talent expects a robust digital presence, and the first place they go to research employers is online.
Your firm’s webpage should highlight your firm’s culture and include statements or videos on your website with partners, associates, and staff explaining the benefits of working for your firm.
Junior and senior lawyers alike expect access to advanced tools that make work easier, enabling them to deliver exceptional client service and improving their work/life balance in the process. Law firms that invest in legal technology platforms can attract better talent and position themselves as industry leaders.
Compliance is a priority for law firms. And legal software can be a key tool in helping you meet your firm’s compliance requirements.
In this article, we’ll cover major compliance issues that law firms need to monitor and solutions that can reduce your risks.
A primary compliance concern for law firms is staying on top of compliance related to both data and processes: for example, storing firm and client data safely in the cloud, managing online client portals, processing online payments, handling trust accounting issues, and following ethical requirements relating to online advertising and marketing.
In this section, we’ll go over a few major buckets of compliance risks in the digital world that your firm should recognize and address.
When it comes to storing data, security is the top compliance priority. Law firms must make “reasonable efforts” under ABA Model Rule of Professional Conduct 1.6 to prevent the disclosure of client-related information. That means law firms must understand what client data they store, where they are storing it, and what the potential entry points for data loss and disclosure are. Additional compliance requirements vary depending on the size and type of law that your firm practices, but it’s best practice to review applicable requirements and make sure that your firm’s cloud infrastructure has the robust protections necessary to safeguard your clients’ data.
Choosing a reputable provider of cloud-based legal platforms is the first step in ensuring compliance. The provider should have a proven track record and, ideally, have suffered zero data breaches in the past. Make sure that it offers robust security features like encryption and access control, such as password policies, two-factor authentication, and role-based permissions.
Much like the cloud, client portals require firms to pay special attention to how they secure client information. Your law firm should implement strong access controls, such as two-factor authentication and secure file transfer protocols, to prevent unauthorized access to client data. Law firms that use client portals also must comply with the ABA Model Rules of Professional Conduct, which include requirements for maintaining client confidentiality (Rule 1.6), establishing competence (including with technology) (Rule 1.1), and keeping clients informed of matters (Rule 1.4).
Processing client payments online
There are a host of considerations when deciding how to accept online payments from your clients. Clients overwhelmingly prefer to have the ability to pay online and to pay with credit cards. Turning to legal software to do the behind-the-scenes work of processing online payments for your law firm is your best bet.
The right legal technology platform can ensure that all online payments accepted follow the ABA Model Rules, Interest on Lawyers’ Trust Accounts (IOLTA) guidelines, and Payment Card Industry Data Security Standards (PCI DSS). The right legal payment and accounting software will ensure that your legal team does not commingle client trust account funds with the funds they use for operations.
Following rules for online law firm advertising
Law firm websites must meet certain ethical requirements set forth by their state bars. For example, websites shouldn’t advertise a lawyer as an “expert” or as “specialized” in a particular practice area unless they hold a specific qualification permitted by their state. They should also not hold themselves out to be the “best” lawyer to handle a type of matter. Attorneys may also need to include a disclaimer noting that the information on their website should not be considered legal advice. Lawyers should check their state bar’s requirements to ensure compliance. In some states, the bar may require or permit the submission of the law firm’s website content for ethical review.
Additionally, prospective clients want to see that your law firm is capable of handling matters like theirs. One of the best ways to highlight your expertise is through the words of satisfied clients. But there are limits to what you can share online — and you also need to prepare for how to handle a negative review. ABA Model Rule 7.1 requires that all communications about a lawyer and their services must be true and not misleading. Marketing statements, such as testimonials, could be misleading if they set an expectation that a lawyer can obtain the same results as another client without reference to the specific factual and legal circumstances of each client’s case.
Finally, law firms should make sure that their websites meet the requirements of the Americans with Disabilities Act. That means your site’s design and visual and audio content need to be accessible to everyone, including people with disabilities.
A digital marketing company that focuses on helping law firms can help identify and avoid online marketing pitfalls and help you comply with your state bar’s requirements.
True compliance starts with your people. Your law firm should have a data protection plan (especially when it comes to client data) that outlines steps and safety procedures. It should include policies on who can access client data, how and when they can access it, and how data is retained and backed up. Also, make sure that your attorneys and staff are trained on how to handle sensitive data and best practices for compliance.
Legal software plays a critical role in helping law firms remain compliant with laws and regulations. As touched on throughout this article, the laws related to compliance are plentiful, and navigating those waters yourself is unnecessarily risky.
With advanced legal software, your firm can ensure data security through the cloud, keep client information confidential, and process online payments both quickly and while fulfilling your legal and ethical requirements. By leveraging legal software, your firm will streamline compliance processes, reduce the risk of data breaches and other violations, and ultimately protect your law firm’s reputation.
