The findings in this report indicate solo and small firms can become more profitable simply by putting the right measures in place.
Raleigh, NC (PRWEB) June 09, 2015
LexisNexis® Legal & Professional, a leading provider of content and technology solutions, today published the results from a recent Blue Hill Research study which found law firms using law firm practice management software saved billable time, were more efficient and could net an additional $5,000 to $22,000 annually, depending on the factors involved.
The report, title “Building a Business Case for Law Practice Management” interviewed 45 U.S. law firms with between one and 55 attorneys, also found that solo and small law firms can save between four and eight billable hours each month, which translates into upwards of 48-96 billable hours per year. The study also concluded firms using law firm practice management software, decreased the need for investment in additional support staff by 40 percent.
The report also included a “Solution Spotlight” of the LexisNexis Firm Manager® software platform, a cloud-based legal practice management solution for solo and small firms. It found the product’s capabilities and user-friendly design provides a viable, cost-effective solution for solo and small firms looking to support their daily legal practice management and operational business needs.
“The findings in this report indicate solo and small firms can become more profitable simply by putting the right measures in place,” said David Houlihan, Esq., a principal analyst with Blue Hill Research, who authored the report. “With a median salary for a single support legal support staff member hovering right around $60,000 a year, making investments in legal practice management solutions to handle the operational side of things, can spell significant savings for a small firm.”
The report also examines how attorney time is affected by administrative duties which limit a law firm’s revenue potential. For larger firms with support staff in place, the drain came from having to hire additional staff to support administrative, non-billable tasks. Participants of the study were asked to outline the top eight non-billable business activities viewed prominently as cost centers for the firm. These included conflict management, time tracking, billing and account reconciliation among other areas.
Among these activities, the report found a total of eight primary business tasks result in delays, which require, for example, support staff or attorneys to complete the processes manually. Those firms with practice management software in place reported being able to support law firm activities while maintaining overhead costs.
Law firms without a law firm practice management solution reported significant amounts of time given to information entry or data search for information stored within single instances.
“The purpose of this report is to help solo and small firms better evaluate where they stand in terms of profitability and use these findings as a benchmark as they begin to analyze their current business operations and look for ways they can save the firm money,” added Mr. Houlihan.
A complimentary copy of the report is available for download on the Firm Manager website: http://bit.ly/practice-managment
About LexisNexis® Legal & Professional
LexisNexis Legal & Professional is a leading global provider of content and technology solutions that enable professionals in legal, corporate, tax, government, academic and non-profit organizations to make informed decisions and achieve better business outcomes. As a digital pioneer, the company was the first to bring legal and business information online with its Lexis® and Nexis® services. Today, LexisNexis Legal & Professional harnesses leading-edge technology and world-class content to help professionals work in faster, easier and more effective ways. Through close collaboration with its customers, the company ensures organizations can leverage its solutions to reduce risk, improve productivity, increase profitability and grow their business. LexisNexis Legal & Professional, which serves customers in more than 175 countries with 10,000 employees worldwide, is part of RELX Group plc, a world-leading provider of information solutions for professional customers across industries.
LexisNexis helps professionals at law firms and legal departments of all sizes manage the business element of their practice or departments with innovative software and mobile solutions for customer relationship management, time and billing management, matter management, client analysis, legal holds and more.