Download - Fixed pricing for legal services
Fixed pricing for legal services
1Stanislav Roth
Hourly rates
2
* Source: ACLA/CLANZ Legal Department Benchmarking Report 2010
Fixed fees
* Source: ACLA/CLANZ Legal Department Benchmarking Report 2010
3
Pricing for legal services todayHourly rate still dominates
Growing (but not sustained) pressure on law firms to offer
alternatives
No major law firms have seriously committed to
alternative pricing or changing their business model/mentality
Emergence of strong alternative models:
Fixed fee/retainer for any work
Placing senior lawyers at clients (in-sourcing)
Low cost/fixed price legal process outsourcing (LPO)
4
5 Golden rules for fixed pricing1.Start with placing yourself in client’s place – what would I
be happy to pay for the service?
2.Consider other factors – size of client, value of project,
urgency, competition, opportunity for repeat business, time the
work may take
3.Come up with the price based on 1 and 2
4.Consider whether the price in point 3 works for you (cost,
profit)
5.Run your price by a trusted colleague and/or consult your
instinct. 5