Articles

Getting credit score before applying for loan

Interested in getting a loan?Did you know that you can learn your FICO score before you apply for a bank loan?

FICO is the number bankers use to determine whether they want to lend you money … like the SAT scores that help determine your eligibility to get into law school. (The FICO score card was created by a credit analysis firm, Fair, Isacc & Co., hence the name.) (more…)


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Tax considerations before year’s end

It’s tax time! Well, not really. But, it is time to start planning for end-of-the-year moves that will impact how much you pay in taxes at the beginning of 2004. Consider some the discussed here before the end of the year is on top of you. (more…)


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Teaching associates to be profitable

One topic very few law firms, small or large, ever discuss with associates is why and how they can/should be profitable.

When I was practicing as an associate, I had a conversation with the managing partner. The subject of profits and billing came up, though I don’t remember how or why. I showed him what percentage my billings were of the firm; I showed him what my expense to the firm was. (Most of these numbers were available at that time; they may be more difficult to get today.) And I showed him what my “profit” to the firm was (though I had no clue about the realization rate of my billings by the firm). (more…)


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Marketing tips

Marketing tips of the day:

  • It’s not who you know that counts, it’s who knows you!
  • The secret to success is contained in the formula of the 3 F’s: Follow-up; Follow-up; and follow-up! Persistence does pay dividends.
  • Trust is built in small increments, not any single event. Thus, doing what you say you will do is essential to building and maintaining that
  • trust.


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Tax advantages for buying tech equipment this year

With less than 3 months remaining in 2004, there are tax benefits that may impact your buying decisions.

Law firms can deduct the purchase price of technology equipment acquired for use in 2004.
Amended IRC Section 179 provides for a new limitation of $100,000 instead of the old limitation of $25,000. This provision also applies to off-the-shelf software. The opportunity is limited to 2004, while reverting back to the old limits after this year.

Check with your tax adviser or the Internal Revenue Service for more details.


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Risk management tips

With rising malpractice insurance premiums, what can we do to keep our costs as low as possible?

Shop the carriers. But, this will go only so far because all carriers are facing the same issues of rising costs from earlier poor underwriting judgements, increased litigation against lawyers and a generally poor investment market.

What is in the control of law firms, however, which will help control this cost? Good client selection and good client relations policies! Here are some specific suggestions.

Be choosy. Select clients who can afford to pay for the services they request. (more…)


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The Paper-Less Office

Did you know that banks will, as of on or about November 1st, convert their paper check system to an electronic system? If my understanding is correct, vendors will be paid (e.g., by a paper check); they will then convert the check into an electronic transaction and either keep, return or, most likely, destroy the paper check. (more…)


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Moving

Moving Tips:

  1. As with construction, the move will take twice as long and cost twice as much. Consider this in your budget for cost of move as well as for time to get the task done.
  2. Create a list of items to be moved. Put everything in a boxes that can be; label each box. Tag each box and each piece of furniture and equipment. Be sure the marking on every tag is the same as the notation on your master list.
  3. Color code tags based on the space in the new facility to which each tagged item is to be moved.

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Billings

Most lawyers’ billings are “features” billings. This is what I did and these are the days I worked and this is what you owe me. Billings, in my opinion, get you better results when you prepare a “value” billing. What are the results of your effort for the client.

Sometimes that’s not possible, for example, when you bill for a telephone call to set up an appointment. Other times, it’s obvious such as when you have a negotiating conference call with opposing counsel — what did the client get for your effort? (more…)


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