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Do You Have a Pulse on Your Business?
by Barbara Lewis MBA and Dan Otto MBA

One of the most common mistakes that law firms make is not doing a proper analysis of their financial numbers.  By using key financial ratios and comparing your numbers to other law firms, you can determine exactly how well you're operating.  National law firm statistics are available from a variety of sources and are excellent benchmarks to gauge your progress.  Three years of financial data can tell an enormous amount, not only about your past but also about where you are heading.

Action Step:

Check your key ratios at least once a quarter and compare the results with other law firms your size.  Then project your course for the year.

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