Workshop schedule and outcomes Welcome and Introduction Practice Structures At the end of this unit you will be able to: • compare and contrast the different possible legal practice structures. • evaluate the capacity of the different structures to meet client, staffing and the practising goals and needs of principals. • analyse how various components of particular practice structures should best be set up and implemented. Financial Management At the end of this unit you will be able to: • explore criteria to evaluate new business. • discuss the budgeting process and different methods of building a budget. • evaluate time recording as a profit lever. • compare different pricing strategies and calculate their impact on profitability. • analyse how leverage and growth will impact on the practice’s financial performance. • understand the impact of WIP and review WIP reports for recoverability. • optimise WIP and debtor conversion in various areas of law and examine how both profit and cash are affected. • develop ‘rules’ to account for and minimise doubtful debts and write offs. • relate cash flow to profit distribution and drawings. • estimate the costs of running a file, including how to scope initially. • calculate the ‘cost to finish’ if something triggers further costs, including how to talk to a client about that. • analyse the costs of production of legal services. • manipulate different financial scenarios to predict profitability. • plan key ‘profit improvement’ strategies that can be effectively implemented. • calculate the practice’s net profitability and project the impact of changes to revenue. Trust Accounting At the end of this unit you will be able to: • outline the provisions governing the responsibilities of principal lawyers regarding trust monies. • identify ways in which trust account provisions can inadvertently be breached and strategies to prevent these breaches. • analyse current practices with respect to the maintenance of trust and office account records. • implement any necessary policies and procedures to rectify poor practices. DAY 1 7