What is Your Law Practice Worth? Q&A: What 2 pieces of Advice Do You Suggest for Law Firms to Improve Their Worth in 2021?

During the Q&A session, Peter Webb of Scorpion, Mark S. Gottlieb, CPA/ABV/CFF, ASA, CVA, CBA, MST of MSG Accountants, Consultants & Business Valuators, Ari P. Kornhaber, Esq. of Esquire Bank, Christopher A. Cahill, J.D., CFP® of Twelve Points Wealth Management, and Jan L. Jacobowitz, Esq. of Legal Ethics Advisor return to address the question:

What 2 pieces of advice do you suggest for law firms to improve their worth in 2021?

Webb reminds viewers of the importance of “Analyze, Secure, Grow & Protect.”

Kornhaber encourages lawyers to: (1) Embrace technology such as case management systems to better understand data about their law practices and become stronger businesses as a result; and (2) Adopt financial planning for the “long-game” based upon the 3 P’s: (i) Planning, (ii) be Prepared; and (ii) be Proactive.

Gottlieb advises that lawyers (1) Ensure that that their practices maintain at least 30-40% profitability; and (2) Develop a niche in a few areas of the law for the purposes of generating better and consistent clients, as well as charging a premium for that expertise.

Cahill emphasizes that Senior Attorneys can maximize their personal wealth by: (1) Planning; and (2) Execution, including paying attention to corporate vehicles such as cash balance retirement plans.

Jacobowitz advises that law firms (1) Embrace technology and innovation pertaining to case management systems and marketing; and (2) Consider a risk assessment relating to a law firm’s marketing campaigns.

Poock adds that law firms can improve their worth by Applying the “Kornhaber Triple P” of (i) Plan; (ii) Prepare; and (iii) be Proactive, including considering how to monetize their law practices.