Our training department consults with hundreds of law firms all over the world on a day-to-day basis. After assisting attorneys not only with learning how to utilize PracticePanther but also in analyzing their own business practices in hopes of optimizing their law firms, one noticeable trend from the countless consultations is the growing interest many law firms have expressed in switching over from an hourly billing to flat fee billing. With companies like PracticePanther and LawPay making tracking and collecting easier than ever, it’s easy to see exactly why!
Flat Fee Billing is easier for you, and easier for your clients!
Seeing a long invoice with countless time entries, varying in description and duration, can appear very intimidating to new clients. From the client’s standpoint, looking at a detailed list of time entries feels less like a great value, and more like law firms are trying to nickel and dime every penny they can squeeze out of their wallet. If you’re a growing law firm, this is the last feeling you want to instill in your new clients.
Let us use a common household example; if a long detailed invoice of time entries is taking a large pill, flat fee billing is like opening that same pill and mixing it into your drink instead. It may have the same end goal (collecting on your earned billable time), but if your clients have trouble swallowing pills, they’ll choose the drink every single time.
This may not seem like a big deal to you but imagine one more example. When buying a new computer, honestly ask yourself what sounds easier;
- Researching every single component, getting the individual best prices and building the computer from scratch.
- Buying a full pre-built computer.
Yes, you might get a little more value from doing all that extra research and building, but buying a pre-built computer sounds much easier if you’re not very tech savvy, or you simply want to be efficient with your time. The first invoice you send your clients can make or break their decision to stay with you. Flat fee billing is easier for you to log and track, and you’re making the job of reading, and more importantly paying the invoice, that much easier for your clients.
Get paid faster: Flat Fee Billing using LawPay!
Even if we take out the psychological advantages of flat fee billing is generally easier on the eyes, if you have a payment processor like LawPay in place, you can actually set up automatic monthly charges for any amount you pick. Obviously, this is a feature that is much better suited for flat fee billing over hourly cases, as you will know in advance exactly how much you want your monthly flat fees to be. Meanwhile, hourly will often vary from case to case or even month to month.
By combining software like LawPay with PracticePanther, you’re able to take advantage of PracticePanther’s automatic flat fee billing generator.
Automatic Flat Fee Billing is as simple as:
- Having a LawPay account.
- Having a PracticePanther account.
- Connecting the two software.
- Clicking “New Payment Plan” in PracticePanther.
From there, attorneys will be able to save a card on file to automatically as required by the matter. These charges can be used to easily collect retainer payments, but PracticePanther can also automatically generate an invoice each month. This invoice can have a flat fee service listed for that monthly payment. Then, PracticePanther will apply the payment directly to the invoice, clearing the money as income, as LawPay places it in the law firms’ operating account immediately. All this leaves for attorneys to do is review the generated invoices, and send them to their clients as often as they see fit.
As you can imagine, making it easier for your clients to pay your firm will mean more money, happier clients, and more referrals in the long run. Don’t fall behind the competition; stay ahead of the times and switch to an easier platform for both you and your clients.
To learn more about PracticePanther’s flat fee billing, click here. If you’re interested in getting a full demo of PracticePanther to see how else we can make attorney’s lives easier, click here and pick any time that works best for you!