What is the Average Amount
Generated by the Matters You Handle?
by MBA and MBA
You may not
think it makes a difference whether you work on matters that generate large or small fees
as long as your total fees are the same. However, Centurion Consulting Group has found
that you can be wasting administrative time and your time in handholding small clients if
most of your clients are invoiced less than $100, for example.
attorneys voice the opinion that they want to work with every client, no matter how little
fee may be billed. They theorize that these small clients may one day refer a very large
matter or the client may one day have a substantial matter.
a marketing plan that we recently developed for a law firm, we analyzed the small fee
matters and determined that these clients werent referring others, nor were they
growing. (Of course, there are exceptions to this, but they are rare.)
firm was spending an inordinate amount of time billing the hundreds of small matters and
the attorneys found that they had to write off much of their time since the small clients
were extremely fee sensitive. Small clients also need a lot of attention -- more than
the 80/20 rule where 80% of your fees should be generated by 20% of your clients.
Determine the percentage of your fees that are small (such as less than $100 or less than
$500) and compare that to the percentage of clients generating that amount.
However, some professionals are
uncomfortable with this technique. So we suggest changing the mindset. Remember that your
legal services are a valuable asset to your clients. If you dont offer your services
or creative applications of your services to help solve their problems, you are doing them
The adage is true: Out of sight, out of
mind. If you use the articles and speeches to enhance your
credibility and the personal contact to improve your relationship, youll find that
business development is relatively easy. Our clients who
devote 15 percent of their time to business development, usually see improvements within a