For those of you who wondered how my situation turned out with the legal counsel in Phoenix, I thought I would share some of the highlights before I jump into ‘hard-line’ collections talk.
When I left off, I had sent the attorney an email requesting a meeting to discuss where I was and how we could resolve this issue. After asking to meet during his/her off-time/non-billable time, he/she basically through it back in my face.
Don—
I am not sure if I set the appointment or my secretary set the appointment. However, we are usually very clear about the charge for consultations with our office. We have very few categories of cases where we don’t charge and yours was not in that category so I would be surprised that you were not told.
It sound like you will not being paying the bill. Best of luck in the future.
Sincerely yours,
There it is, in the matter of a few words the attorney told me ‘what-for’. It was basically said, neither the firm’s appointment team nor the attorney could not have made the mistake. The firm was right and I was wrong and that was it! However, in closing, the attorney admits fault and nullifies the billing; yet, has no desire to build a relationship.
As I sit here thinking about the entire thing, I feel cheapened by the experience. I met with the attorney because of a pressing issue, I was allowed to vent. We spoke, briefly, and I was told to come back with the situation materialized. The situation never gelled, and therefore I didn’t return. To this day, I feel the meeting was worth something, but not $250.00! I shouldn’t feel bad, but I do. Probably because of the severed relationship, probably because the attorney could have better client relationships – I am not sure. I am left wondering how many relationships are shunned upon by this firm.
However, this event is one of those that I must label as classical. It is classical in that it has been well documented by many. I refer to it as the FAR syndrome, ‘Fire, Aim Ready’. I, as the attorney, am so excited about the work that I don’t take the time to: Listen to the client, understand their needs, act in accordance with their needs, and foster a strong relationship. Instead, I begin working the engagement only to find that engagement isn’t isolated – its origin is with another human being.
Regardless of your vocation, you are there to serve and be served by people, whether directly or indirectly. The secret is to work with people to get what you need, while helping them get what they need. This situation reminds me of something Ed Poll says in his book “Collecting your Fee”.
“The client is not a necessary evil in the legal process. The client is the font of all you hope to achieve in your career. Without the client there are no court actions, no matters, and no victories… and no revenue”
Until next time, do good work, docket good time, bill good time, collect good time, and foster great relationships !
Tuesday, May 29, 2007
Tuesday, May 22, 2007
My experience with the legal system.
If you have ever participated in one of my lecture series you would know that the one resounding theme is –“relationships”. I thought I would kick off the blog with an incident that is a little personal that screams – “relationship break-down”. Several weeks ago I found myself in a bit of a quandary regarding a personal legal issue. You would think that being in this business for close to 20 years I would know legal counsel – NOT! However, I got a referral from our legal counsel and made contact with the attorney via email. After a few emails I made the trek to central Phoenix.
Our meeting, filled with idle chat, and a brief discussion of my thoughts on the issue; which took the better part of 40 minutes. We left the meeting on the basis that if I should choose to enjoin the issue I should contact the firm and open the case. Much to my surprise, 6 weeks later I get a bill! Obviously this attorney has never participated in my lecture sessions!
I am amazed at the audacity this person had to send me a bill, without actually providing more than a few cups of coffee and taking ½ of a page of notes. Clearly the relationship began all wrong! If I was to be a charge for the consultation, it should have been said during our email dialogue. Better yet, send me a consultation agreement outlining the cost of the meeting. Instead, the desire to make face-to-face contact far outweighed properly establishing the relationship!
In hopes to resolve this, I made contact with the attorney expressing my position regarding the issue and offered to meet during their off hours to come to a resolution. I am still awaiting a response…
Although I believe this person is a very competent attorney, and based on what I have read, this person is recognized in their area of specialty. However, the simple things were over looked: Clearly explaining the fee structure, getting a consultation agreement to me and explaining that the meeting would be billable.
I cannot stress it enough; firms create their own relationship/receivable issues! Hey firms, treat me like my Chrysler dealership does! Tell me IN ADVANCE the fee for diagnostics (initial consultation), tell me the cost of getting the work done (engagement), tell me the payment methods accepted (engagement/consultation letter) and most of all, make sure I understand – make me sign off!
Our meeting, filled with idle chat, and a brief discussion of my thoughts on the issue; which took the better part of 40 minutes. We left the meeting on the basis that if I should choose to enjoin the issue I should contact the firm and open the case. Much to my surprise, 6 weeks later I get a bill! Obviously this attorney has never participated in my lecture sessions!
I am amazed at the audacity this person had to send me a bill, without actually providing more than a few cups of coffee and taking ½ of a page of notes. Clearly the relationship began all wrong! If I was to be a charge for the consultation, it should have been said during our email dialogue. Better yet, send me a consultation agreement outlining the cost of the meeting. Instead, the desire to make face-to-face contact far outweighed properly establishing the relationship!
In hopes to resolve this, I made contact with the attorney expressing my position regarding the issue and offered to meet during their off hours to come to a resolution. I am still awaiting a response…
Although I believe this person is a very competent attorney, and based on what I have read, this person is recognized in their area of specialty. However, the simple things were over looked: Clearly explaining the fee structure, getting a consultation agreement to me and explaining that the meeting would be billable.
I cannot stress it enough; firms create their own relationship/receivable issues! Hey firms, treat me like my Chrysler dealership does! Tell me IN ADVANCE the fee for diagnostics (initial consultation), tell me the cost of getting the work done (engagement), tell me the payment methods accepted (engagement/consultation letter) and most of all, make sure I understand – make me sign off!
Monday, January 01, 2007
Letter from the Executive Suite
Ok, exhale….
For those with a December year end, you can exhale… But! Not too much. Although the year end crunch is over, you are probably now faced with a new budget for cash collections for 2007. If your firm is like most, the amount to be collected will be more than 2006! In a recent conversation with a credit manager from one of our firms, I was told that their cash collection budget for 2007 is 9% more than 2006. My immediate response was; how have you increased your timekeeper head count? And what about new cases; the answer on both accounts was a hesitant “NO”.
In the past, I have written to share with you some of things happening at MiniSoft both at the organizational level and at the product level. Although well and good, it takes away from your precious time. Time that you so desperately need to reach your 2007 goals! Over the past 8 months I have been much attuned to the importance of clients and adding value to the experience clients have with MiniSoft. In addition to being your AR management software solution, I feel it is our responsibility to do more to assist in your endeavors, to empower you to achieve the high goals set before you. With that said, we have, and I personally, have undertaken several initiatives that will assist you beyond the bits and bytes of software.
Our website is currently under construction, when it is ready you will have a user forum where you will be able to ‘meet' other ARCS user's from our worldwide client base. This will be your opportunity to share knowledge, tips and tricks, and most importantly experience. In the weeks following the forum launch, I will host a WIP/AR management blog. For the most part, I will contribute some thoughts from current research in the area of finance, risk management and overall credit and collections. An initiative I started in the summer of 2003 which has gained strong popularity is my public speaking engagements and lecture series. Both of these venues provide you with current industry thought without having to do the research yourselves. If you have 15minutes, I urge you to listen to my most recent pod-cast on http://www.lawbiz.com/podcasts.html.
Getting back to reality, here we are with the 2007 cash collections budget staring you in the face and nothing has changed on the front end. You need to collect more cash with the same team, no new mega deals and no more timekeepers. So how are you going to do it?? This need is captured in the latest mantra “do more with less”. At face value, how do I get more output from less input? The whole concept, from a physical perspective, seems impossible and logically it is. In a practical sense, how do I make more money and work less. How do I have more gadgets and spend less. How do I collect more money…you can fill in the blank!
The answer is much deeper than it appears and for the readers of Dr. Stephen Covey it should come to you. The answer is in having a ‘paradigm shift'! We can only do more with less, when we do things differently! The same old ways of doing things will produce the same old results… you cannot expect anything different. Using knowledge, skill and technology you must critically review your processes, tear down old stereotypical ways of collections management. Then build new innovative strategies.
Not to give too much away, growing market thought entertains the concept of risk based AR management. In this model all clients are viewed as part of the firm's portfolio each bearing their own risk and return. The approach that follows is to manage the client portfolio in a proactive mode, instead of the reactive mode. In my recent lecture series Collections above and beyond technology , I examined this quantum leap that some organizations have taken and their immediate financial gains. Due to its strong reception, we will host an encore presentation in our upcoming webinar series.
Until then…all the best and think…. Paradigm shift!
Regards,
Donald A Downey
Executive Director MiniSoft Group
For those with a December year end, you can exhale… But! Not too much. Although the year end crunch is over, you are probably now faced with a new budget for cash collections for 2007. If your firm is like most, the amount to be collected will be more than 2006! In a recent conversation with a credit manager from one of our firms, I was told that their cash collection budget for 2007 is 9% more than 2006. My immediate response was; how have you increased your timekeeper head count? And what about new cases; the answer on both accounts was a hesitant “NO”.
In the past, I have written to share with you some of things happening at MiniSoft both at the organizational level and at the product level. Although well and good, it takes away from your precious time. Time that you so desperately need to reach your 2007 goals! Over the past 8 months I have been much attuned to the importance of clients and adding value to the experience clients have with MiniSoft. In addition to being your AR management software solution, I feel it is our responsibility to do more to assist in your endeavors, to empower you to achieve the high goals set before you. With that said, we have, and I personally, have undertaken several initiatives that will assist you beyond the bits and bytes of software.
Our website is currently under construction, when it is ready you will have a user forum where you will be able to ‘meet' other ARCS user's from our worldwide client base. This will be your opportunity to share knowledge, tips and tricks, and most importantly experience. In the weeks following the forum launch, I will host a WIP/AR management blog. For the most part, I will contribute some thoughts from current research in the area of finance, risk management and overall credit and collections. An initiative I started in the summer of 2003 which has gained strong popularity is my public speaking engagements and lecture series. Both of these venues provide you with current industry thought without having to do the research yourselves. If you have 15minutes, I urge you to listen to my most recent pod-cast on http://www.lawbiz.com/podcasts.html.
Getting back to reality, here we are with the 2007 cash collections budget staring you in the face and nothing has changed on the front end. You need to collect more cash with the same team, no new mega deals and no more timekeepers. So how are you going to do it?? This need is captured in the latest mantra “do more with less”. At face value, how do I get more output from less input? The whole concept, from a physical perspective, seems impossible and logically it is. In a practical sense, how do I make more money and work less. How do I have more gadgets and spend less. How do I collect more money…you can fill in the blank!
The answer is much deeper than it appears and for the readers of Dr. Stephen Covey it should come to you. The answer is in having a ‘paradigm shift'! We can only do more with less, when we do things differently! The same old ways of doing things will produce the same old results… you cannot expect anything different. Using knowledge, skill and technology you must critically review your processes, tear down old stereotypical ways of collections management. Then build new innovative strategies.
Not to give too much away, growing market thought entertains the concept of risk based AR management. In this model all clients are viewed as part of the firm's portfolio each bearing their own risk and return. The approach that follows is to manage the client portfolio in a proactive mode, instead of the reactive mode. In my recent lecture series Collections above and beyond technology , I examined this quantum leap that some organizations have taken and their immediate financial gains. Due to its strong reception, we will host an encore presentation in our upcoming webinar series.
Until then…all the best and think…. Paradigm shift!
Regards,
Donald A Downey
Executive Director MiniSoft Group
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