Management Assistance Program
How Did You Do in 2022?
By Jim Calloway
The end of the year is the perfect time to take stock of how your law firm did this year and set goals for the next year.
A few things to review include:
Gross revenues this year versus last year. Hopefully, you can break these down by practice area to help inform your 2023 marketing plan.
How many new files did you open last year compared to the last couple of years? Again, it is best to break this down by practice area.
What were the highlights and lowlights of the year? What was the most painful matter you handled and why?
You still have a few days to check for client files to close this year with any remaining trust account funds applied to the bill and transferred to the operating account.
Do you have any clients with large balances that need some special attention in January? The longer a statement goes unpaid, the more likely it won’t be paid.
Setting goals for next year
After you have reviewed the past year, it is a good time to set goals for next year.
Goals should be objective so you can grade yourself on how well you have done this time next year. “Making as much revenue as possible” is not a goal, just a desire. A goal would be “Increase revenue by 10% next year.”
Another goal might be reducing accounts receivable by a certain percentage. This goal would require process improvements in handling clients who fall behind with their fee obligations.
Perhaps you want to expand marketing efforts or do that long-delayed technology upgrade or decide whether you will hire an associate or resolve to become more selective on new client intakes.
You need not create a lengthy list of goals, outlining every goal. It is easier to focus on fewer things at a time.
Then calendar a date every month next year where you look at your goals and examine how well you are doing on meeting the goals.
We hope you have a happy and profitable year next year.