The Guidance and Ethics Committee has compiled a series of ‘ten-tips’ practice notes on practice management issues. The first is presented below. The remainder will follow during the coming months.

1. Monitor the firm’s financial performance on at least a monthly basis:
   • Assess fees received in previous month compared with fee target,
   • Review fees received in respect of each solicitor,
   • Review fees billed by each solicitor.
2. Review outstanding fees and chase up. Consider outsourcing the credit control function. Make sure somebody is doing it!
3. Prepare quarterly cashflow statements and analyse them.
4. Review your costs on an ongoing basis. Look for alternative quotes. Negotiate with your existing suppliers. If you are funding client outlays, ask yourself if you can afford to continue to do so.
5. Tell clients at the outset that you will interim bill, and do what you say you will do – that is, interim bill.
6. Carry out regular reviews of work in progress of all files in the office. Make sure the high-value files are progressed as quickly as possible.
7. If you have not already done so, introduce time costing. Benefits are:
   • It will tell you what files are profitable,
   • It will make it easier to justify your fees to a client/third party in the event of a dispute with the client.
8. Allocate an hour every week simply for issuing bills.
9. Allocate a separate hour every week to chase bills. Remember that a delay in sending out a fee note is a delay in getting paid.
10. Finally, enforce your credit terms. A delay in getting paid by your client amounts to an interest-free loan to your client. Can you afford it?