Not every lawyer is equipped with bookkeeping and accounting skills. They didn’t teach that in law school. Nor did they teach entrepreneurship. For lawyers switching from being employees to firm owners, dealing with bookkeeping and accounting can be difficult. Odious even. As a result, lawyers tend to hire office managers or someone with little financial experience to do the job, leading to non-compliant financial records and accounting.
Some lawyers opt to take on the bookkeeping and accounting themselves, which can be frustrating and time-consuming. Worse still, the time needed for bookkeeping and accounting cannot be counted as a billable job. Another option is to outsource it to professionals, but this can be expensive, and you will lose access to real-time information.
Here’s where legal technology does bookkeeping and accounting the job better. At CoreMatter, we’ll show you why you should leave those printed spreadsheets, paper invoices and manual data entry behind. As a law firm owner, you can opt to use technology to take that pain away.
These are the reasons why:
Reason 1: It is Purpose-Built
The team at CoreMatter has already designed a fitting solution that covers everything from invoicing, tracking billable hours and payments to generating live financial reports that you can view instantly. The best part of it all, this system is prebuilt to be tax compliant and AML/CFT-compliant so that you never have to worry about compliance issues or human errors.
Reason 2: See the Big Picture, Literally
Rather than wait for your outsourced accountant to send you those monthly financial reports for part of the picture, you can gain instant access to your firm’s financial condition with CoreMatter. Your partner dashboard gives you a bird’s eye view on billing details that are typically overlooked and quickly identify areas for improvement or make more informed decisions.
Reason 3: Multiple Timers Make Retainers Easy and Help you Identify Unprofitable Clients
Are you still logging in fee earner hours on spreadsheets? You may want to save time with CoreMatter’s built-in Multiple timers to effectively capture your fee earners time. These timers run in the background, even when users log off the system. Their time spent on the client is recorded in their respective calendars.
CoreMatter can track both billable hours and expenses for every client, making it easier for you to view your firm’s financial performance and identify unprofitable clients. With this information on hand, you can decide how and where you want to make changes for improvement.
Reason 4: Take manual bookkeeping and accounting out of the picture
Wouldn’t you like to save time on creating, recording and tracking invoices? Or get help with disbursements, vouchers, receipt, payment and ledger management?
CoreMatter incorporates legal-specific trust accounting, ledger management, disbursement management and timed billing functionality. It further regulates rates and billings for different Clients without difficulty, saving time on unnecessary work. Your team can export invoices into multiple formats, including PDF, Excel and Word.
Reason 5: Control your Cash Flow
Access to an overall view of your firm’s financial performance gives you an added perk: control of your cash flow. By having financial data at your fingertips, you can control cash disbursements, identify late-paying clients, upcoming collections or even forthcoming expenses. It is essential to know to take appropriate measures to manage your cash flow and plan for small and significant costs. Only then can you ensure stable pay for your partners and staff.
All of these reasons show that technology like CoreMatter’s Cloud Practice Legal Management, Accounting and Billing system is the key to boosting law firm and financial success. It helps you to save time, gain control and access your financial data instantly. For your firm to be successful, you will need a purpose-built system like CoreMatter to stay compliant and maintain accurate and precise bookkeeping regularly.
Strict records that capture everything from bills, invoices, credit card expenses, cancelled cheques and time billing reports are a plus, especially when you need to have organized and clear records for taxation purposes. Don’t wait till tax time or financial reporting time to be on top of your bookkeeping and accounting. When you have technology helping you, you can maximize returns and manage tax better.
In conclusion, your law firm needs to get the details right regarding proper bookkeeping and accounting. Consider hiring an inhouse certified accountant and using an affordable system like CoreMatter to keep your bookkeeping and accounting records accurate, organized and clear. It also helps you save time and provides you with the financial data you need to decide for your firm’s financial wellbeing.
Sign up today for a free demo to learn more about how CoreMatter works!
CoreMatter, the leading cloud-based case management tool in Southeast Asia, frees your firm from the mess of the mundane to focus on what matters most.