By Jared Correia, Red Cave Law Firm Consulting
The ongoing coronavirus pandemic has changed many of lawyers’ closely held beliefs about how to run a law practice. Not a single aspect of law firm business management is being left unexamined. And, as law firm concerns over revenue grow, cost-cutting measures begin to intercede. At this point, a number of law firms have furloughed staff, but many have held onto the second largest office expense: the office itself.
That may change, however, as social distancing requirements linger. If no one, or fewer people, are at the office, your law firm won’t require as much office space. And it’s likely that you and your employees are becoming far more proficient in working at home. If those trends continue, it’s the smart business decision to reduce office space and also your monthly rental nut.
Of course, that was the smart move before you ever even heard of the coronavirus, but you were probably too afraid to pull the trigger. Law firms are the very definition of traditional businesses, but in a modern world, traditional business models get expensive. Law firms should be operating offices to house staff, but they tend to fill those offices up with obsolete items like paper files and document/email servers.
So, move to a paperless environment, adopt cloud technologies and allow your staff to work remotely. Then, watch your overhead tumble.•
If you’re sifting through office space options in the new normal, we can help. The IndyBar now offers FREE law practice management consulting services through Red Cave Law Firm Consulting. To request a consult, visit indybar.org/lpm and start running your law firm like a business.