I would encourage all lawyers to develop a list of items which they bill for and items that they don’t bill for. Some of my clients still prefer hourly billing. The difference in my law firm is that only certain items actually get billed. The litmus test for all of them is whether or not the activity is adding value to solving the client’s legal issue. Other administrative items, such as transmittals, filing, shuffling of paper, getting up to speed, scheduling and short telephone calls do not result in charges to the client.
Many firms would choke at such an approach and focus on the lost revenue. The funny thing is, I don’t seem to be losing money. My revenue model is strong. More importantly, my client relationships are even stronger. Instead of handling one legal matter for a client, my clients are retaining me on a variety of different matters. And my virtual paralegals are there for constant support and problem solving.