Law firms have a difficult time tracking billable hours because of a variety of fee arrangements and the rules posed by the state.
These issues can mire your business with complications, and it may become difficult to run it. So, what is required to overcome such situation? The answer is a legal time and billing software. It offers:
Multiple Fee Arrangements
Almost every law firm has many fee arrangements in place due to the complexity of legal services. Based on the client matter and the fee structure, the client may be charged on an hourly, retainer-based hourly, fixed and contingency.
Restrictions on Billing
In comparison to other businesses, law firms face restrictions by state regulators on how hours can be billed and how firms’ can do business. In certain circumstances, law firms are required to represent their clients even when they aren’t regular with their fee.
Tracking Billable Hours Effectively
For law firms, time is precious as the customer’s work is billable and is productive. The hours spent on book-keeping aren’t. It means the time devoted to managing cases, and file on the legacy system is non-billable and leads to losses. It means if there no system of tracking the time spent on billable hours will result in lower profitability of the firm. Such situation demands a system that can help the firm track the billable hours and the charges effectively.
Managing Disputes and Audits
There may be disputes even in the law firms. When they happen, the law firm must be able to produce the audit trail. Such a trail must contain complete details of who did what and when and the client was charged for what services & how he was charged. Although most of the law firms have a back-office, they know it very well that manual system is very ill equipped to handle such situations, which may need auditing. Those businesses who understand the importance of technology make use of it to manage the business effectively.
So how a legal time and billing software can help?
There are many advantages of such enterprise management software. Some of them are:
Bill The Time For Client Service: If you don’t track the time for which you have served the customer it means you are losing business. Such software allows billing effectively from just anywhere as they are cloud based.
You can also automate the invoice generation and the payment receipts. Monitor the clients who aren’t paying on time.
There are numerous soft-wares available in the market, and you can get the one which meets your requirement after some research.